Monetary Policy and Macroeconomic Research
Our monetary policy and macroeconomic research focuses on national and international economic issues.
Latest Research
Complementary Effects of Financial Education and Payday Lending Regulations on Financial Inclusion
Financial education reduces adults’ likelihood of being unbanked, particularly in states where payday lending is also restricted.
Labor Market Dynamics, Monetary Policy Tradeoffs, and a Shortfalls Approach to Maximum Employment
This paper assesses policy strategies that pursue maximum employment by mitigating shortfalls rather than deviations.
Declining Immigration and an Aging Population Are Reducing Breakeven Employment Growth
Lower breakeven employment growth may help contextualize recent soft employment readings.
An Alternative Version of the KC Fed LMCI Suggests Little Change in the Labor Market in September
A version of the KC Fed LMCI that excludes delayed government data still provides a timely measure of labor market health.
Estimating the Effects of Monetary Policy: An Ongoing Evolution
New monetary policy tools have lengthened the interval over which policy news is transmitted and processed.
Incomplete Information and Irreversible Investment
Firms have incomplete information and investment is irreversible—two frictions that result in the misallocation of capital.
Evaluating Macroeconomic Outcomes Under Asymmetries: Expectations Matter
Household and firm expectations play a key role in determining the effects of asymmetries on macroeconomic outcomes.
Stablecoins Could Increase Treasury Demand, but Only by Reducing Demand for Other Assets
Funds flowing into stablecoins must flow out of another source.
Worker and Firm Search in the Labor Market: Evidence from Classified Advertisements
New city-level and national measures of firm and worker job searches offer insight into early 20th-century U.S. labor markets.