Title:Interactive Beliefs, Epistemic Independence and Strong Rationalizability
Author(s):BATTIGALLI, Pierpaolo; SINISCALCHI, MarcianoDate:1999Type of Publication:ArticleAbstract:We use a universal, extensive form interactive beliefs system to provide an epistemic characterization of a weak and a strong notion of rationalizability with independent beliefs. The weak solution concept is equivalent ...
Title:Interest Rate Targeting and the Dynamics of Short-Term Rates
Author(s):BALDUZZI, P; BERTOLA, Giuseppe; FORESI, S; KLAPPER, LDate:1998Type of Publication:ArticleAbstract:A feature of U.S. monetary policy has been active targeting of overnight fed funds rates. We show that during a period of tight targeting (1989-1996) term fed funds spreads from the target displayed pronounced volatility ...
Title:International Consumption Risk Sharing
Author(s):CANOVA, Fabio; RAVN, Morten O.Date:1996Type of Publication:ArticleAbstract:This paper formally examines the implications of international consumption risk sharing for a panel of industrialized countries. We theoretically derive the international consumption insurance proposition in a simple setup ...
Title:International Dimensions of Optimal Monetary Policy
Author(s):CORSETTI, Giancarlo; PESENTI, PaoloDate:2005Type of Publication:ArticleAbstract:This paper provides a baseline general equilibrium model of optimal monetary policy among interdependent economies with monopolistic firms and nominal rigidities. An inward-looking policy of domestic price stabilization ...
Title:International Lending of Last Resort and Moral Hazard: A Model of IMF’s Catalytic Finance
Author(s):CORSETTI, Giancarlo; GUIMARAES, Bernardo; ROUBINI, NourielDate:2006Type of Publication:ArticleAbstract:This paper analyzes the trade-off between official liquidity provision and debtor moral hazard in international financial crises. In the model, crises are caused by the interaction of bad fundamentals, self-fulfilling runs ...
Title:International Macroeconomic Fluctuations and the Current Account
Author(s):HOFFMANN, MathiasDate:2003Type of Publication:ArticleAbstract:Intertemporal models of the current account generally assume that global shocks do not affect the current account. We use this assumption to identify global and country-specific shocks in a bivariate VAR of output and the ...
Title:International Risk Sharing and the Transmission of Productivity Shocks
Author(s):CORSETTI, Giancarlo; DEDOLA, Luca; LEDUC, SylvainDate:2008Type of Publication:ArticleAbstract:This paper shows that standard international business cycle models can be reconciled with the empirical evidence on the lack of consumption risk sharing. First, we show analytically that with incomplete asset markets ...
Title:Interpolation, Outliers and Inverse Autocorrelations
Author(s):PENA, Daniel; MARAVALL, AgustinDate:1991Type of Publication:ArticleAbstract:The paper addresses the problem of estimating missing observations in an infinite realization of a linear, possibly nonstationary, stochastic processes when the model is known. The general case of any possible distribution ...
Title:Is Job Turnover Countercyclical?
Author(s):BOERI, Tito; BELLMANN, L.Date:1996Type of Publication:ArticleAbstract:In recent years several models have been developed in an attempt to explain countercyclical movements of job turnover, the sum of gross job creation and destruction rates. However, only in the United States is a negative ...
Title:Is the New Keynesian Phillips Curve Flat?
Author(s):STÖLTING, Sarah; KUESTER, Keith; MÜLLER, Gernot J.Date:2009Type of Publication:ArticleAbstract:This paper provides Monte Carlo evidence that GMM estimates of the New Keynesian Phillips curve are biased towards finding too much price rigidity if cost-push shocks are auto-correlated. This result may reconcile GMM ...