Reports

“In this post, we explore how banks’ balance-sheet constraints impact MMFs’ investment in the ON RRP facility. We identify two channels: a deposit channel and a wholesale short-term debt channel. Through the deposit channel, constrained banks push excess deposits into affiliated MMFs, causing an increase in the size of the MMF industry and, therefore, in…

“Explore year-over-year changes in home prices since 2003, both regionally and nationally, using this dynamic map — updated with new home price index data on a monthly basis. Hover over a county for granular data.” https://www.newyorkfed.org/research/home-price-index

“In this Economic Commentary, we consider whether the declines in vacancies seen in the second half of 2022 could have been driven by monetary policy tightening. We look at whether the variation in this decline across industries and states was consistent with increases in the federal funds rate. Our first strategy focuses on variation at…

“As the table shows, in addition to having only a few sellers or suppliers dominating the market, an oligopoly has barriers to entering the market, and “there are few close substitutes for the product.” In other words, certain conditions make it difficult for potential competitors to start selling or supplying a particular product or service…

“Outlook-at-Risk provides a timely, quantitative approach to measuring risks to the future evolution of the economy. Recent banking stresses remind us that financial conditions can evolve rapidly and directly affect the likely set of outcomes for output, inflation, and the unemployment rate. The experience during the 1987 tightening cycle, which occurred against the backdrop of…

“Despite decades of research, there remains substantial uncertainty about the quantitative effects of monetary policy. Different models produce conflicting predictions, and these predictions lack precision. This article discusses some reasons for these issues. In addition to the relative lack of data, the structure of the economy has continued to evolve, posing challenges for empirical macroeconomic…

“This paper examines the distribution of the gasoline tax burden in the presence of increasedelectric vehicle adoption. Automobile manufacturers and even some states have ambitious goals tophase out gas-powered cars. However, in spite of these plans, the primary source of automobileinfrastructure funding in the United States continues to be gasoline taxes …”

“Given that central banks are tasked with maintaining price stability, we would expect to see policy rate increases in response to surging inflation, and in some cases, we have. However, the implementation of quantitative easing (QE) policy since the 2007-09 Great Recession may have complicated the decision to raise the policy rate in certain economies.…