We decompose the response of aggregate consumption to monetary policy shocks into contributions by households at different stages of the life cycle. This decomposition finds that older households have a higher consumption response than younger households. Amongst older households, the...

We use local projections to estimate the cross-country distribution of real GDP per capita growth impulse responses to global and idiosyncratic temperature shocks. Negative growth responses to global temperature at longer horizons are found for all Group of Seven countries while positive...

This paper attributes the exchange-rate disconnect puzzle, which we characterize as the low adjusted R-squared in short-horizon predictive regressions, to omitted `third-country' variables. Using a three-country DSGE exchange rate model, we identify channels through which shocks originating in...