10.9 C
Toronto
Thu | Mar 20-2025 | 1:13 am EDT

A skeptical review of the QEs – why they might not be powerful as...

In their working paper "A Skeptical View of the Impact of the Fed's Balance Sheet," economists David Greenlaw, James D. Hamilton, Ethan Harris, and Kenneth D. West challenge some earlier studies that concluded QEs have a significant economic impact. Their major argument is that those research used simple event studies to quantify the impact of QE.

Measuring Federal Reserve officials’ secret disagreement behind locked doors of FOMC meetings

Dissent votes in Federal Reserve policy meetings are rare, accounting for only 6.37% of the votes between 1976 and 2017. However, opting not to vote against the FOMC consensus doesn't necessarily mean committee members don't "disagree" with it.

No, PPI is not a measure of wholesale inflation

A standard perception of PPI is that it is a measure of "wholesale inflation", but the BLS told EconReporter that this interpretation of PPI is not at all correct.

Economic benefit of asset market bubble

What the impact of asset price bubbles on US economic growth is.

Fed’s swap lines help easing Covid-era global dollar shortage

Countries with swap line arrangement with Federal Reserve, be it the standing ones or temporary, saw smaller increases in spread during the initial pandemic stress period.

Why Fed projects to cut rates next year even it expects failure to reach...

Inflation projections by Fed officials show that PCE inflation will not reach 2% by the end of 2025. Why the Fed expects to cut rate next year then?

Early signs of inflation expectation de-anchoring back in 2021

Ricardo Reis, economics professor at the London School of Economics, explained that there were telling signs that the increase in cost of living started ealry-2021 was not a "transitory" phenomenon.

Dallas Fed’s Logan cites neutral rate uncertainty as reason to ‘proceed cautiously’ on rate...

Lorie Logan, president of Dallas Fed, expressed worry about uncertainty surrounding the exact level of neutral rate of interest and hinted at the risk that the Federal Reserve's policy rate might already near the point which further rate may starts to fuel inflation again

Should Federal Reserve use scenario analysis to handle trade war uncertainty?

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.

Global Economy

Interviews

The Disappointments with Post-Great Recession Macroeconomics | Q&A with Kocherlakota |

Welcome to the latest installment of our interview series “Where is the General Theory of the 21st Century?” “Where is the General Theory of the...