Economics

The Fed is currently in a "wait and see" mode in deciding what is the reaction to Trump's trade policy. But is it possible for the Fed to be a bit more proactive than merely saying "we will be able to update you further when we know more details"? Enters scenario analysis.

"The [Standing Repo Facility (SRF)] rate is set at the top of the FOMC’s target range for the federal funds rate. This combination of an ample supply of reserves and an SRF rate at the top of the target range reduces the day-to-day reliance on the facility except during periods of significant upward pressure on rates resulting from strong liquidity demand or market stress," said John Williams

In celebration of Richard Thaler's prize lecture for his 2017 Nobel prize, we interviewed two of his best co-authors -- Hersh Shefrin and Shlomo Benartzi -- to discuss the future of behavioral economics.

An investigation into the probability of a crash in house prices following a housing bubble

Long-run stability of the velocity, or the filpside of it, money demand, however, is not a empirically founded assumption.

Rated: 4/5 Stars | Planet Money Book is an excellent introduction to economics and finance and reminded me why it is good to have Planet Money in our life.

Olivier Blanchard a list of things that macroeconomists normally agreed on and need no further discussions.

The faster the credit growth, the worse it is for real growth (output per worker). This is what Stephen G. Cecchetti and Enisse Kharroubi want to explain in their NBER working paper "Why Does Credit Growth Crowd Out Real Economic Growth?"

An explainer on how Hong Kong Linked Exchange Rate System works, what Aggregate Balance is, and how interest rate arbitrage help maintains Linked Exchange Rate System.

Hysteresis is referred to the hypothesis that recessions may have permanent effects on the level of output relative to trend.