Tag Archives: Research

In: Thomas Moser, Carlos Lenz, Marcel Savioz and Dirk Niepelt, editorial committee, Monetary Economic Issues Today, Festschrift in Honour of Ernst Baltensperger, Swiss National Bank/Orell Füssli, Zürich, June 2017. PDF of draft. The sovereign money initiative (Vollgeldinitiative) seeks to gain greater control over the money and credit supply, to increase financial stability and to achieve a fairer distribution of seigniorage income. The initiative’s suggested approach – a ban on active...

IMF Working Paper 17/119, May 2017, with Tamon Asonuma and Romain Ranciere. PDF. Rejecting a common assumption in the sovereign debt literature, we document that creditor losses (“haircuts”) during sovereign restructuring episodes are asymmetric across debt instruments. We code a comprehensive dataset on instrument-specific haircuts for 28 debt restructurings with private creditors in 1999–2015 and find that haircuts on shorter-term debt are larger than those on debt of longer maturity....

On his blog, Gilles Saint-Paul comments on the publication process in economics. Of course I was wrong in all accounts. The publication process in economics is not a publication process, it is a validation process by which we acquire a certain rank in a certain pecking order. Submitting a paper to a journal has nothing to do with research dissemination, it is far more similar to taking an exam or participating in a sports competition. The actual dissemination takes place mostly orally, in...

In a recent Citigroup Global Economics View Research report, Willem Buiter discusses “Bad and Good ‘Fiscal Theories of the Price Level’.” Quoting my own work on the Fiscal Theory, Buiter warns that policy makers start to pay attention to the theory: It does not often happen that a rather obscure technical bit of economic theory merits an audience wider than the small band of academics who spend their waking hours pondering such matters because that is the kind of thing they do. This note...

In an Independent Review of BIS Research, Franklin Allen, Charles Bean and José De Gregorio conclude that … BIS research clearly ‘punches above its weight’ compared to its central bank peers. Finally, the relative performance of the BIS has clearly improved over the past five years, a tribute to the influence of the previous (Steve Cecchetti) and current (Claudio Borio and Hyun Shin) leadership … They recommend, among other points: The research programme should have a more clearly defined...

More and more researchers adopt the programming language Julia.

Jointly with the Journal of Monetary Economics and the Swiss National Bank, the Study Center Gerzensee organized a conference in honor of Bob King, long-term supporter of the Study Center. Program: PDF. Jaume Ventura’s discussion of a paper on trade and growth by Alvarez and Lucas: PDF. My discussion of a paper on debt and debt constraints by Bhandari, Evans, Golosov, and Sargent: PDF.

The Economist reports about research by Paul Smaldino and Richard McElreath indicating that studies in psychology, neuroscience and medicine have low statistical power (the probability to correctly reject a null hypothesis). If, nevertheless, almost all published studies contain significant results (i.e., rejections of null hypotheses), then this is suspicious. Furthermore, Smaldino and McElreath’s research suggests that the process of replication, by which published results are tested...

CEPR Discussion Paper 11482, August 2016, with Martin Gonzalez-Eiras. PDF. Also published as CESifo Working Paper 6062, Study Center Gerzensee Working Paper 16-05. PDF, PDF. We propose a theory of tax centralization and inter governmental grants in politico-economic equilibrium. The cost of taxation differs across levels of government because voters internalize general equilibrium effects at the central but not at the local level. This renders the degree of tax centralization and the tax...