Yen and Yang: The Response of the Nikkei to the Yen
To what extent are Japanese equities driven by changes in the value of the yen?
Japan’s Missing Wall of Money
The Bank of Japan announced an open-ended asset purchase program in January 2013 and an unexpectedly ramped-up version of the program was implemented in early April.
Do Bank Shocks Affect Aggregate Investment?
Traditionally, we have thought of the fates of specific banks as perhaps symptomatic of problems in the financial market but not as causal determinants of fluctuations in aggregate investment and other real economic activity.
Crisis Chronicles: 300 Years of Financial Crises (1620–1920)
James Narron and David Skeie As momentous as financial crises have been in the past century, we sometimes forget that major financial crises have occurred for centuries—and often. This new series chronicles mostly forgotten financial crises over the 300 years—from 1620 to 1920—just prior to the Great Depression. Today, we journey back to the 1620s […]
Foreign Borrowing in the Euro Area Periphery: The End Is Near
Current account deficits in euro area periphery countries have now largely disappeared.
Japanese Inflation Expectations, Revisited
An important measure of success for monetary policy is a central bank’s ability to anchor inflation expectations; inflation expectations influence actual inflation and, hence, the achievement of a given inflation goal.
How Liquid Is the Inflation Swap Market?
Inflation swaps are used to transfer inflation risk and make inferences about the future course of inflation.
The Exchange Rate Disconnect
Why do large movements in exchange rates have small effects on international goods prices?
China’s Impact on U.S. Inflation
U.S. import prices of consumer goods shipped from China have been moderating in recent quarters, following an upward surge of 11 percent between mid-2010 and the end of 2011.
Income Flows from U.S. Foreign Assets and Liabilities
Foreign investors placed roughly $1.0 trillion in U.S. assets in 2011, pushing the total value of their claims on the United States to $20.6 trillion.