Mapping the household-level transmission of monetary policy
The monetary tightening that followed the post-pandemic inflation episode has revived long-standing debates about how monetary policy affects households. This column uses a survey of
Macroeconomic policies for AI
While some observers argue that artificial intelligence may lead to large productivity gains, there are also concerns that it may lead to technological unemployment and
Gold falls as fading Middle East peace hopes lift dollar, oil
Trump to visit China this week, to discuss Iran with Xi. Gold fell from a three-week high hit earlier on Tuesday, as slim hopes of
Identifying monetary policy shocks in newspapers using GPT
Identifying the shock component of monetary policy is a precondition for measuring its causal effects. This column proposes a novel approach: using large language models,
Central bank digital currency, the future of money, and politics
A number of concerns have been raised regarding retail central bank digital currency. These range from competition and innovation, privacy issues, and monetary sovereignty. This
Mortgage borrower actions dampen the impact of higher rates on monthly payments
The surge in inflation following the COVID-19 pandemic prompted many central banks to raise interest rates sharply. This column combines data from a large German
Mapping the contours of Chinese policy transmission at home and abroad
China’s place within international trade networks and global supply chains makes the propagation of Chinese shocks a global phenomenon. This column discusses the channels of
Pricing cascades: Inflation in a networked economy
The post‑pandemic inflation surge is often attributed to pent-up demand and opportunistic price hikes by firms. This column argues that the surge was not driven
Peering beyond the veil of aggregate bank lending rate dynamics: Insights into credit-level pricing and composition effects
During the recent tightening and easing cycle, the aggregate bank lending rate to firms in the euro area increased by less than the rise in
Stablecoins and the exorbitant privilege of money creation
Payment stablecoins are set to become an important financial instrument. Their impact on the financial system will depend on whether the issuers can purchase assets
