MPCs amplify the investment response in the data. This force also generates a procyclical response of consumption to … shock. Our estimated model uncovers a central role for investment in the transmission mechanism of monetary policy, as high … investment shocks, leading our model to infer a central role for these shocks as a source of business cycles …

monetary and fiscal policies that aim to stimulate consumption and borrowing, even when they are financially unconstrained and …

elasticity and Frisch elasticity of labor supply. Overall, our results suggest that the main effects of openness are on the …

disagree even on the basic effects of a shock to government spending on goods and services: neoclassical models predict that … private consumption and the real wage will fall, while some neo-keyenesian models predict the opposite. This paper discusses …

We study the effects of monetary-policy-induced changes in Tobin's q on corporate investment and capital structure. We … evidence, and quantify the relevance for monetary transmission to aggregate investment …

financial sector growth. Sharp fluctuations in the financial sector have asymmetric effects, with the majority of real sectors …