When the zero lower bound on nominal interest rates binds, monetary policy cannot provide appropriate stimulus. We show that in the standard New Keynesian model, tax policy can deliver such stimulus at no cost and in a time-consistent manner. There is no need to use inefficient policies such as...

We investigate a recently introduced extension of the multi-period facility location problem that considers service-differentiated customer segments. Accordingly, some customers require their demands to be met on time, whereas the remaining customers accept delayed deliveries as long as lateness...

We address a stochastic multi-period facility location problem with two customer segments, each having distinct service requirements. While customers in one segment receive preferred service, customers in the other segment accept delayed deliveries as long as lateness does not exceed a...

In this paper, we derive principles of optimal cyclical monetary policy in an economy without capital, with a cash-in-advance restriction on household transactions, and monopolistic firms that set prices one period in advance. The only distortionary policy instruments are the nominal interest...

Can both short and long-term interest rates be targeted independently? Can the target of the term structure help solve the problem of multiplicity of equilibria that occurs when only the short rate is targeted? Both questions are addressed, and the answer is yes to both.

This paper addresses a new problem to design a two-echelon supply chain network over a multi-period horizon. Strategic decisions are subject to a given budget and concern the location of new facilities in the upper and intermediate echelons of the network as well as the installation of storage...