following a large real (non-financial) shock; and (ii) demonstrate the effectiveness of Large Scale Asset Purchases (LSAPs) in … addressing these contractions. The key mechanism stems from heterogeneous risk tolerance: as a recessionary shock hits the … Covid-19 shock and the large response by all the major central banks provide a vivid illustration of the environment we seek …

for larger branches. This internal shock to the balance sheets of U.S. branches of foreign banks had sizable effects on …

expansion increase leverage ratios sufficiently. When this happens, the Fisherian debt-deflation mechanism is set in motion, as … lower asset or goods prices tighten further the constraint causing further deflation. This framework also embodies a …

Several explanations for the depth of the Great Depression presume that the -30% deflation of 1930-32 was unanticipated …. For example, the debt-deflation hypothesis originally put forth by Irving Fisher is based on the notion that unanticipated … deflation increases the burden of nominal debt, adversely affecting the banking system and the aggregate economy. Other theories …

dominant crop in the region, as a systemic shock to the Sixth District, the Atlanta Fed increased discounting and enabled … Atlanta Fed was vindicated when the shock to cotton prices proved to be temporary, and the Board conceded that the Reserve …

distribution of business revenue shock due to the Covid-19 pandemic. We rely on it to analyze the impact of business support …