Is monetary policy less effective in boosting aggregate demand and output during periods of
persistently low interest rates? This paper reviews the reasons why this might be the case …

A successful low-carbon transition requires the introduction of policies aimed at aligning
investments to the climate and sustainability targets. In this regard, a global Carbon Tax (CT) …

Economists both failed to predict the global financial crisis and underestimated its
consequences for the broader economy. Focusing on the second of these failures, this …

This paper surveys the theoretical and empirical literature on the macroeconomic
implications of financial imperfections. It focuses on two major channels through which …

Household debt levels relative to GDP have risen rapidly in many countries over the past
decade. We investigate the macroeconomic impact of such increases by employing a novel …

Do the prevailing unusually and persistently low real interest rates reflect a decline in the
natural rate of interest as commonly thought? We argue that this is only part of the story. The …

We compare and contrast two prominent notions of financial cycles: a domestic variant,
which focuses on how financial conditions within individual economies lead to boom-bust …

Financial cycle booms can end in crises and, even if they do not, they tend to weaken
growth. Given their slow build-up, do they convey information about recession risk? We …

We adopt an unobserved components time series model to extract financial cycles for the
United States and the five largest euro area countries over the period 1970–2014. We find …

The Great Financial Crisis (GFC) of 2007–09 confirmed the vital importance of advancing
our understanding of macrofinancial linkages. The GFC was a bitter reminder of how sharp …