Similar Search Results

On the distributional effects of exchange rate fluctuations

Tille, Cédric - 2002

The paper studies the differential impact of exchange rate fluctuations on households in a country. I extend earlier research by relaxing the assumption of complete international sectoral specialization. My setup allows for the presence of several different sectors in a given country, each...

Persistent link: https://www.econbiz.de/10010283394

The cost of business cycles for unskilled workers

Mukoyama, Toshihiko; Sahin, Aysegül - 2005

risk of unemployment during recessions than are skilled workers. Moreover, unskilled workers earn less income, which limits … their ability to self-insure. We examine how this heterogeneity in unemployment risk and income translates into …

Persistent link: https://www.econbiz.de/10010283400

Payment networks in a search model of money

Martin, Antoine; Orlando, Michael; Skeie, David - 2006

In a simple search model of money, we study a special kind of memory that gives rise to an arrangement resembling a payment network. Specifically, we assume that agents can pay a cost to access a central database that tracks payments made and received. Incentives must be provided to agents to...

Persistent link: https://www.econbiz.de/10010283405

Day-to-day monetary policy and the volatility of the federal funds interest rate

Bartolini, Leonardo; Bertola, Giuseppe; Prati, Alessandro - 2000

We propose a model of the interbank money market with an explicit role for central bank intervention and periodic reserve requirements, and study the interaction of profit-maximizing banks with a central bank targeting interest rates at high frequency. The model yields predictions on biweekly...

Persistent link: https://www.econbiz.de/10010283411

Commitment and equilibrium bank runs

Ennis, Huberto M.; Keister, Todd - 2007

We study the role of commitment in a version of the Diamond and Dybvig (JPE, 1983) model with no aggregate uncertainty. As is well known, the banking authority can eliminate the possibility of a bank run by committing to suspend payments to depositors if a run were to start. We show, however,...

Persistent link: https://www.econbiz.de/10010283412

Benefits and spillovers of greater competition in Europe: A macroeconomic assessment

Bayoumi, Tamim; Laxton, Douglas; Pesenti, Paolo - 2004

We estimate the macroeconomic benefits and international spillovers of an increase in competition using a general-equilibrium simulation model with nominal rigidities and monopolistic competition in product and labor markets. We draw three conclusions after calibrating the model to the euro area...

Persistent link: https://www.econbiz.de/10010283416

Fiscal multipliers and policy coordination

Eggertsson, Gauti B. - 2006

This paper addresses the effectiveness of fiscal policy at zero nominal interest rates. I analyze a stochastic general equilibrium model with sticky prices and rational expectations and assume that the government cannot commit to future policy. Real government spending increases demand by...

Persistent link: https://www.econbiz.de/10010283417

Is the integration of world asset markets necessarily beneficial in the presence of monetary shocks?

Tille, Cédric - 2000

This paper evaluates the consequences of the integration of international asset markets when goods markets are characterized by price rigidities. Using an open economy general equilibrium model with volatility in the money markets, we show that such an integration is not universally beneficial....

Persistent link: https://www.econbiz.de/10010283424

Arbitrage pricing theory

Huberman, Gur - 2005

Focusing on capital asset returns governed by a factor structure, the Arbitrage Pricing Theory (APT) is a one …

Persistent link: https://www.econbiz.de/10010283426

Are bank shareholders enemies of regulators or a potential source of market discipline?

Park, Sangkyun; Peristiani, Stavros - 2001

, maximize put option value - by pursuing riskier strategies. For safe banks with large charter value, however, the risk … value, and a risk measure, this paper develops a semi-parametric model for estimating the critical level of bank risk at … which put option value starts to dominate charter value. From these estimates, we infer the extent to which the risk …

Persistent link: https://www.econbiz.de/10010283427