We develop a monetary DSGE model with a maturity structure of long-term government debt and analyse the incentives of a government to reduce it real debt burden by increasing inflation temporarily. The success of such a policy crucially depends on the maturity structure of public debt and on the...

This paper shows that public provision of private goods may be justified on pure efficiency grounds in an environment where individuals consume both public and private goods. The government's involvement in the provision of private goods provides it with information about individuals' private...

functions that allows productivity to be multi-dimensional. Using firm-level panel data, we are able to directly assess the bias of technological change by measuring, at the level of the individual firm, how much of technological change is factor neutral and how much of it is labor augmenting....

TBA

In Bassetto with Sargent (2004) and Bassetto and Lepetyuk (2007), I developed a model that can be used to quantitatively assess the consequences of departures from Ricardian equivalence on the mix of public goods provided by the government. Those papers assume that mobility is exogenous and that...

We estimate an empirical model of consumption disasters using a new panel data set on consumption and output for over 20 countries and more than 100 years. The model allows for permanent and transitory effects of disasters, nesting both unit root and trend stationary consumption growth. We...

In this paper, we develop a tractable model of the labor market featuring on-the-job search and aggregate fluctuations.

To explore the quantitative implications that AIDS has for the development path of the Sub- Saharan African economies, I extend a standard theory of economic development that reproduces the process of industrialization, Hansen and Prescott (2002), with a population model that relates the age...