Financial Innovation: The Origins of the Tri-Party Repo Market
The conventional wisdom about financial innovation is that it is typically undertaken as a way to increase profits.
Crisis Chronicles: The Man on the Twenty-Dollar Bill and the Panic of 1837
Thomas Klitgaard and James Narron Correction: This post was updated on May 8 to correct the book title and spelling of the author’s name in the fifth paragraph. We regret the error. President Andrew Jackson was a “hard money” man. He saw specie—that is, gold and silver—as real money, and considered paper money a suspicious […]
From the Vault: Monetary Policy and Government Finances
Anna Snider Each year, the manager of the Federal Reserve’s System Open Market Account (SOMA) submits an accounting of open market operations and other developments influencing the composition and performance of the Fed’s balance sheet to the Federal Open Market Committee (FOMC).
U.S. Potential Economic Growth: Is It Improving with Age?
Samuel Kapon and Joseph Tracy The contribution of labor input to the potential GDP growth rate for the United States has changed over time. We decompose this contribution into two components: the size of the adult population and the average demographically adjusted employment rate. We find that these two components in the late 1960s and […]
Interest-Bearing Securities When Interest Rates are Below Zero
Negative interest rates have evolved, over the past few years, from a topic of modest academic interest to a practical reality.