Can big corporate deals and value chains provide an explanation for why the Phillips curve has flattened?
Ten most read posts in June
A list of commentaries and research papers which got the highest number of views during June 2017.
New and noteworthy books in economics (July)
Three notable new books on: Central Banking, alternative currencies and currency conflicts.
New research on when are structural reforms implemented, which reforms have the largest impact on GDP and what is the interplay between the government and the private sector that makes reforms successful.
Distortions and policy instruments
Olivier Blanchard and Troy Daviga and Refet S. Gürkaynak on how the macro models that focus on “one distortion and one instrument” have lead to sub-optimal policies.
The start of Brexit negotiations
Kirkegaard on the importance of a strong Franco-German axis. Mayer and al. on the welfare gains from EU integration and welfare losses from Brexit and Schoenmaker’s detailed analysis of passporting rights.
Monetary policy and the financial sector
How low can interest rates go before hurting the economy? Two new working papers on financial intermediaries and their impact on the transmission of monetary policy.
Rethinking the inflation target
US economists write to Janet Yellen recommending an increase of the Fed’s inflation target. Not everyone is on board though!
The German trade surplus
Is Germany’s trade surplus hurting the US? New research on whether wage or expansionary fiscal policy could reduce the German trade surplus.