The repo spike is not liquidity crisis; it is a crisis for Fed’s floor...
The floor system needs a cap on top of it. The sooner the Fed realizes it, the better they will be prepared for the coming financial turmoil.
What comes after housing market bubble?
An investigation into the probability of a crash in house prices following a housing bubble
FedSpeak Might Not Have Much Effects on Public’s Inflation Expectation
In a recent NBER working paper "Monetary Policy Communications and their Effects on Household Inflation Expectations", economists Olivier Coibion, Yuriy Gorodnichenko and Michael Weber tried to find out how the household's expectation for inflation change with regard to the information they received.
Bank of Canada Watch
The Bank of Canada on Wednesday decided to hold policy rate at 2.25% unchanged, as expected by markets. However, what is a notable is the Bank continues to show dovish bias given the recent rebound in economic data.
What is Neo-Fisherian and FTPL? | Q&A with John Cochrane |
Cochrane discusses with us his view on the development in Macroeconomics since the Great Depression. He also explains what Neo-Fisherian and Fiscal Theory of Price Level are, and why they are important for understanding the current economic situation around the world.
Midas Paradox and the Great Depression | Q&A with Scott Sumner |
Welcome! This is the first installment of our interview series "Where is the General Theory of the 21st Century?"
"Where is the General Theory of...
Economic benefit of asset market bubble
What the impact of asset price bubbles on US economic growth is.
Planet Money Book—a long-time listener, first-time reader’s review
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.
Why is the Hong Kong-US interest rate spread so persistent? — Currency peg in...
A spread of over 3.5 percentage points between US and Hong Kong Interest rate persisted for close to two months and so far arbitrage has failed to close the gap, leading to discussion of whether Hong Kong's Linked Exchange System is failing. This article, however, will explore some technical factors behind this interesting interest rate gap.
Trump appointees will get Fed board majority when Powell is gone – and it...
Trump-appointed Fed governors will hold a board majority by the time Powell steps down as a governor. And that could matter a lot.
