When illusions of wealth shape the economy: Understanding pseudo-wealth, macroeconomic volatility, and social welfare
Pseudo-wealth is a perception of wealth that is not backed by real economic resources. When people have widely different beliefs, they create ‘wealth’ through betting.
The Fisherian debt (de)inflation channel and stock returns
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
Who supplies and demands safe assets – and why it matters
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.
The local effects of artificial intelligence labour investments: Evidence from the municipal bond market
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
Homeowners care about inflation, renters less so
Consumers have vastly different views about inflation – shaped by personal experience, financial literacy, and exposure to economic news. This column examines how consumers’ housing
