Author(s): Itamar Drechsler, Alexi Savov, Philipp Schnabl Date: December 2019 Abstract: Between 2003 and 2006, the Federal Reserve raised rates by 4.25%. Yet it was precisely during this period that the housing boom accelerated, fueled by rapid growth in mortgage lending. There is deep disagreement about how, or even if, monetary policy impacted the boom.[…]

Author(s):  Christoffer Koch, Gary Richardson, Patrick Van Horn Date: January 2020 Abstract: Countercyclical capital buffers (CCyBs) are an old idea recently resurrected. CCyBs compel banks at the core of financial systems to accumulate capital during expansions so that they are better able to sustain operations during downturns. To gauge the potential impact of modern CCyBs,[…]