Where do inflation and deflation ultimately come from? The fiscal theory of the price level
offers a simple answer: Prices adjust so that the real value of government debt equals the …

The new-Keynesian, Taylor rule theory of inflation determination relies on explosive
dynamics. By raising interest rates in response to inflation, the Fed induces ever-larger …

Abstract The new-Keynesian, Taylor-rule theory of inflation determination relies on explosive
dynamics. By raising interest rates in response to inflation, the Fed does not directly stabilize …

Occasionally binding constraints (OBCs) like the zero lower bound (ZLB) can lead to
multiple equilibria, and so to belief-driven recessions. To aid in finding policies that avoid …

How should a government use the power to commit to ensure a desirable equilibrium
outcome? In this paper, I show a misleading aspect of what has become a standard …

We investigate a supply-chain model with a capital-constrained app developer. The
developer interacts with a distribution platform via an agency contract, and the demand is …

This paper develops a theory in which the central bank can control the price level without
fiscal backing. It is shown that the remittances policy and the balance sheet of the central …

In contrast to previous literature, we show that it is possible to use interest rate rules in
standard monetary models to implement equilibria that are globally unique. This is a …

This study considers a pharmaceutical supply chain system consisting of a manufacturer, an
underfunded retailer, a logistics provider, and a bank. First, in accordance with bank …

As of mid-2016, almost one-third of global economy has been affected by negative interest
rates. Nevertheless, the prevailing opinion among influential policymakers has been that the …