By Shekhar Aiyar and Anna Ilyina Trade openness increased after the Second World War, but has slowed following the global financial crisis. Link: Charting Globalization’s Turn to Slowbalization After Global Financial Crisis
CfP Deadline Date:July 31, 2023 Conference Event:December 15, 2023 Event Location:Basel, Switzerland Organizer(s):Bank for International Settlements (BIS) The Bank for International Settlements (BIS) will host the fifth workshop on the use of BISinternational banking and financial statistics. 1 The workshop will be held in-person at the BISheadquarters in Basel. The workshop will bring together central[…]
By European Banking Authority The European Banking Authority (EBA) published today its final Guidelines addressed to resolution authorities for the publication of their approach to the bail-in tool implementation. Transparency and predictability are key both to the credibility of the resolution framework and to the safeguard of investors’ protection. These Guidelines aim at ensuring that[…]
Author(s):Wenqian Huang, Angelo Ranaldo, Andreas Schrimpf, and Fabricius Somogyi Date:February 2023 Abstract: We study dealers’ liquidity provision in the currency market. We show that at times when dealers’ intermediation capacity is constrained their cost of liquidity provision increases disproportionately relative to dealer-provided volume. As a result, the elasticity of dealers’ liquidity provision drops by at[…]
By Gabriel Jiménez, Dmitry Kuvshinov, José-Luis Peydró, and Björn Richter Central banks have been raising interest rates to fight inflation, after a period when rates were first cut and then kept low. This column uses data for 17 developed countries over 150 years to show that policy rate hikes substantially increase crisis risk, if rates[…]
By Daniel Hinge Keeping monetary policy too loose for too long can lead to a “big” increase in the risk of a financial crisis, new research into a controversial area of policy finds. Maximilian Grimm, Òscar Jordà, Moritz Schularick and Alan Taylor say they are “the first to show that, as a causal matter, a[…]
Author(s):Clemens Graf von Luckner, Carmen Reinhart, and Kenneth Rogoff Date:January 2023 Abstract: This paper employs high frequency transactions data on the world’s two oldest and most extensive centralized peer-to-peer Bitcoin markets, which enables trade in the currencies of more than 160 countries. We develop an algorithm that allows us, with high probability, to detect “crypto[…]
Author(s):Niall Ferguson, Martin Kornejew, Paul Schmelzing, and Moritz Schularick Date:January 2023 Abstract: This paper studies the evolution of central bank balance sheets over the past 400 years across 17 major economies. The size of central bank balance sheets has varied substantially over time relative to economic and financial activity. Major balance sheet expansions were initially[…]
By Christopher Clayton, Amanda Dos Santos, Matteo Maggiori, and Jesse Schreger China’s strategy for internationalising the renminbi involves controlling the access of foreign investors to the domestic bond market. This column argues China’s policy involves a trade-off between building a reputation as a country capable of providing a global store of value and risking disruptive[…]