Staff working papers provide a forum for staff to publish work-in-progress research intended for journal publication.
1302
result(s)
Labor Mobility in a Monetary Union
Staff Working Paper 2019-15
Daniela Hauser,
Martin Seneca
The optimal currency literature has stressed the importance of labor mobility as a precondition for the success of monetary unions. But only a few studies formally link labor mobility to macroeconomic adjustment and policy. In this paper, we study macroeconomic dynamics and optimal monetary policy in an economy with cyclical labor flows across two distinct regions that share trade links and a common monetary framework.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Business fluctuations and cycles,
Economic models,
Labour markets,
Monetary policy framework,
Regional economic developments
JEL Code(s):
E,
E3,
E32,
E5,
E52,
F,
F4
Firm-level Investment Under Imperfect Capital Markets in Ukraine
Staff Working Paper 2019-14
Oleksandr Shcherbakov
This paper develops and estimates a model of firm-level fixed capital investment when
firms face borrowing constraints.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Econometric and statistical methods,
Economic models,
Firm dynamics
JEL Code(s):
C,
C6,
C61,
C63,
D,
D2,
D24,
G,
G3,
G31
The Trend Unemployment Rate in Canada: Searching for the Unobservable
Staff Working Paper 2019-13
Dany Brouillette,
Marie-Noëlle Robitaille,
Laurence Savoie-Chabot,
Pierre St-Amant,
Bassirou Gueye,
Elise Nelson
In this paper, we assess several methods that have been used to measure the Canadian trend unemployment rate (TUR). We also consider improvements and extensions to some existing methods.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Business fluctuations and cycles,
Economic models,
Inflation and prices,
Labour markets
JEL Code(s):
C,
C5,
C52,
C53,
E,
E2,
E24,
E27
Local Labor Markets in Canada and the United States
Staff Working Paper 2019-12
David Albouy,
Alex Chernoff,
Chandler Lutz,
Casey Warman
We examine local labor markets in the United States and Canada from 1990 to 2011 using comparable household and business data. Wage levels and inequality rise with city population in both countries, albeit less in Canada.
Do Survey Expectations of Stock Returns Reflect Risk Adjustments?
Staff Working Paper 2019-11
Klaus Adam,
Dmitry Matveev,
Stefan Nagel
Motivated by the observation that survey expectations of stock returns are inconsistent with rational return expectations under real-world probabilities, we investigate whether alternative expectations hypotheses entertained in the literature on asset pricing are consistent with the survey evidence.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Asset pricing,
Economic models,
Financial markets
JEL Code(s):
G,
G1,
G10,
G12
Limiting Sender’s Information in Bayesian Persuasion
Staff Working Paper 2019-10
Shota Ichihashi
This paper studies how the outcome of Bayesian persuasion depends on a sender’s information. I study a game in which, prior to the sender’s information disclosure, the designer can restrict the most informative signal that the sender can generate.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Economic models
JEL Code(s):
D,
D8,
D82,
D83
Inflation Targeting and Liquidity Traps Under Endogenous Credibility
Staff Working Paper 2019-9
Cars Hommes,
Joep Lustenhouwer
Policy implications are derived for an inflation-targeting central bank, whose credibility is endogenous and depends on its past ability to achieve its targets. This is done in a New Keynesian framework with heterogeneous and boundedly rational expectations.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Business fluctuations and cycles,
Credibility,
Monetary policy
JEL Code(s):
C,
C6,
C62,
E,
E3,
E32,
E5,
E52
Macroprudential Policy with Capital Buffers
Staff Working Paper 2019-8
Josef Schroth
The countercyclical capital buffer is part of Basel III, the set of regulatory measures developed in response to the financial crisis of 2007–09. This study focuses on how time-varying capital buffers can address inefficiencies in economies with endogenous financial crises.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Business fluctuations and cycles,
Credit and credit aggregates,
Credit risk management,
Financial stability,
Financial system regulation and policies,
Lender of last resort
JEL Code(s):
E,
E1,
E13,
E3,
E32,
E4,
E44
Inequality in Parental Transfers, Borrowing Constraints and Optimal Higher Education Subsidies
Staff Working Paper 2019-7
Youngmin Park
This paper studies optimal education subsidies when parental transfers are unequally distributed across students and cannot be publicly observed. After documenting substantial inequality in parental transfers among US college students with similar family resources, I examine its implications for how the education subsidy should vary with schooling level and family resources to minimize inefficiencies generated by borrowing constraints.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Fiscal policy,
Potential output,
Productivity
JEL Code(s):
D,
D1,
D14,
D6,
D61,
D64,
D8,
D82,
I,
I2,
I22,
J,
J2,
J24