The recent global rise in prices has renewed interest in the distributional effects of the Fisherian debt-inflation channel, and its impact on firms’ activities. This column examines this channel using a novel high-frequency identification strategy that analyses firms’ stock market returns around inflation announcement dates. It finds that, following positive inflation surprises, firms with higher […]
Indian security forces launched a massive hunt on Wednesday for militants suspected of killing 26 men at a tourist destination in Kashmir in the worst attack on civilians in the country in nearly two decades, with New Delhi pledging a strong response. At least 17 people were also injured in the shooting that took place on Tuesday […]
Women are significantly underrepresented in entrepreneurship in all OECD countries, with implications not only for gender equality but also for aggregate productivity. This column uses Danish data covering nearly 800,000 individuals to demonstrate that early exposure to entrepreneurship increases the likelihood that women become entrepreneurs later in life. Moreover, the women who follow entrepreneurial pursuits […]
The trajectory of an economy’s development can often be better understood through the historical experiences of its populace. This column investigates the long-term impacts of the fall of the Ming dynasty on socioeconomic status, tracing the effects of this historical shock over five generations covering a time span of 300 years. The findings highlight that […]
Safe assets are the building blocks of modern financial markets. This column examines the sectoral dynamics of safe assets across advanced economies since the 1980s. It shows that foreign demand for these assets has steadily increased, with the financial sector playing a key role in meeting it. However, because financial institutions often back the safe […]
The global financial crisis of 2008 has led economists, historians, and policymakers alike to re-examine the foundations of our financial infrastructure. This column revisits the world of credit before the rise of modern banking to draw insights for contemporary reform. Drawing on historical research from early modern Europe, it reveals that communities long relied on […]
Global housing markets have come under scrutiny for a number of concerns, including affordability, homelessness, and the contribution of housing to growing inequality. This column introduces a conceptual framework that integrates the consumption, capital, and locational aspects of housing to highlight how housing both reflects and drives inequality. The authors suggest numerous areas in which […]
In many of the world’s most advanced economies, hyper-globalisation and technological shocks such as AI have made many people’s lives seem less secure. But the traditional way of monitoring pay via repeated one-off surveys has limited our understanding of the volatility of earnings, and thus insecurity. This column uses newly available data from Britain’s tax […]
The long-term effects of artificial intelligence are still unknown, as productivity benefits may be compromised by unintended costs. This column assesses the local effects of shocks to AI job postings on municipal capital markets. It finds that increases in postings are linked to declines in municipal bond yields, particularly for riskier and longer-term bonds. Furthermore, […]
The administration of President Donald Trump said on Thursday it has identified 16 potential sites on U.S. Department of Energy lands where data centers and power plants supporting the boom in artificial intelligence can be developed. WHY IT’S IMPORTANT Rapid growth in AI is leading to the first boom in U.S. power demand for two decades sending Big Tech and […]
