Central banks may face challenges in achieving their price stability goals when financial stability risks are present. There is, however, considerable heterogeneity among central banks with respect to how they manage these potential trade-offs. In this paper, we review the institutional and...

Can macroprudential foreign exchange (FX) regulations on banks reduce the financial and macroeconomic vulnerabilities created by borrowing in foreign currency? To evaluate the effectiveness and unintended consequences of macroprudential FX regulations, we develop a parsimonious model of bank and...

Can macroprudential foreign exchange (FX) regulations on banks reduce the financial and macroeconomic vulnerabilities created by borrowing in foreign currency? To evaluate the effectiveness and unintended consequences of macroprudential FX regulations, we develop a parsimonious model of bank and...

In this paper, we examine the impact of globalization and digitalization on the Phillips curve in a sample of 18 advanced economies over two decades. Using industry-level data from the World and EU KLEMS databases, we first estimate country-industry-specific Phillips curves for each decade by...

Researchers and regulators have continuously debated whether mandatory audit firm rotation improves or impairs audit quality. Theoretically, rotation might improve auditor independence, but may impair auditor competence, because the new auditor lacks client-specific knowledge. In 2014, the...