Macro Finance – Monetary Policy and Fiscal Stability

Euro sign

The SAFE research area Macro Finance is directed towards three main goals.

  • First, we aim at developing an integration of macro models with frontier research in banking and corporate finance. Importantly, the inclusion of banking into macro models will go beyond the mere insertion of a banking sector by also considering, for instance, the endogenous formation of risk, bank runs and bubbles.
  • Second, we aim at developing behavioral hypotheses as potential explanations of many macroeconomic phenomena. The behavioral macro hypotheses will take into account three dimensions of the deviation from the rational expectations assumption: alternative preferences (e.g. prospect theory or dynamic inconsistency), limited information sets or diversity of opinions, and implications for macro models of interacting agents (networks).
  • A third area of research bears a peculiar European trait and focuses on the consequences of debt consolidation during financial crises.

Based on its research the area will develop systematic recommendations for decision makers in central banks and ministries of finance with regard to an overall economic stability policy. Monetary and non-monetary sources of instability as well as the impact channels of monetary, fiscal and financial stability policy are modeled in a quantitatively and empirically well-founded way.


Publications

Published Title Author/s Research Area Keywords Published
2017

Asymmetric Social Norms

Gabriele Camera, Alessandro Gioffré Economics Letters Macro Finance cooperation, repeated games, social dilemmas 2017
2016

Toward a Mutualization of European Unemployment Insurance? On Limiting the Downsides of a Fiscal Transfer System for the Eurozone

Shafik Hebous, Alfons Weichenrieder CESifo Economic Studies Macro Finance EMU, Eurozone, European unemployment insurance, fiscal transfers 2016
2016

Von mikro- zu makroprudenzieller Regulierung

Mohamed Aldegwy, Matthias Thiemann Springer Macro Finance Banking Regulation, Systemic Risk, Formalism, Equilibrium Thinking, Discourse, Citation Network Analysis 2016
2016

A Decentralization Theorem of Taxation

Vilen Lipatov, Alfons Weichenrieder CESifo Economic Studies Macro Finance fiscal federalism, taxing rights, decentralization theorem 2016
2016

On the Optimal Provision of Social Insurance: Progressive Taxation versus Education Subsidies in General Equilibrium

Alexander Ludwig Journal of Monetary Economics, Vol 77, pp. 72-98 Macro Finance Progressive Taxation, Education Subsidy, Transitional Dynamics 2016
2015

A Tractable Analysis of Contagious Equilibria

Gabriele Camera, Alessandro Gioffré Journal of Mathematical Economics Macro Finance Cooperation, Social norms, Grim trigger, Random matching 2015
2015

The road from micro-prudential to macro-prudential regulation

Ester Faia, Isabel Schnabel Cambridge University Press Macro Finance 2015
2015

Loss aversion, habit formation and the term structures of equity and interest rates

Giuliano Curatola Journal of Economic Dynamics and Control Financial Markets, Macro Finance Loss-aversion, Habit formation, Yield curve, Dividend strips, General equilibrium 2015
2014

Aging in Europe: Reforms, International Diversification, and Behavioral Reactions

Axel Börsch-Supan, Klaus Härtl, Alexander Ludwig American Economic Review Papers and Proceedings Macro Finance 2014
2014

Biased Bayesian learning with an application to the risk-free rate puzzle

Alexander Ludwig, Alexander Zimper Journal of Economic Dynamics and Control Macro Finance Ambiguity, Non-additive probability measures, Bayesian learning, Truncated normal distribution, Risk-free rate puzzle 2014
2016

A Life-Cycle Model with Ambiguous Survival Beliefs

Max Groneck, Alexander Ludwig, Alexander Zimper Journal of Economic Theory Household Finance, Macro Finance Cumulative prospect theory, Choquet expected utility, Dynamic inconsistency, Life-cycle hypothesis, Saving puzzles 2016
2014

Euro Membership and Fiscal Reaction Functions

Alfons Weichenrieder, Jochen Zimmer International Tax and Public Finance Macro Finance debt sustainability, fiscal reaction function, euro area 2014
2014

Game-Theoretic Foundations of Monetary Equilibrium

Gabriele Camera, Alessandro Gioffré Journal of Monetary Economics Macro Finance Social norms, repeated games, cooperation, payment systems 2014
2014

Systemic Risk in an Interconnected Banking System with Endogenous Asset Markets

Marcel Bluhm, Jan Pieter Krahnen Journal of Financial Stability Systemic Risk Lab, Macro Finance systemic risk, systemic risk charge, macroprudential supervision, Shapley value, financial network 2014
2014

Exit Strategies

Ignazio Angeloni, Ester Faia, Roland Winkler European Economic Review Macro Finance exit strategies, debt consolidation, ?fiscal policy, ?fiscal multipliers, monetary policy, bank runs 2014
2014

Mutual Excitation in Eurozone Sovereign CDS

Yacine Aït-Sahalia, Roger J. A. Laeven, Loriana Pelizzon Journal of Econometrics Systemic Risk Lab, Financial Markets, Macro Finance CDS, Sovereign risk, Systemic risk, Jumps, Feedback, Hawkes processes, Mutually exciting processes, Impulse-response 2014
2015

Input-Output-Based Measures of Systemic Importance

Iñaki Aldasoro, Ignazio Angeloni Quantitative Finance Systemic Risk Lab, Macro Finance banks, input-output, systemic risk, too-interconnected-to-fail, networks, interbank markets 2015
2014

Optimal Policy and Taylor Rule Cross-Checking Under Parameter Uncertainty

Dirk Bursian, Markus Roth The B.E. Journal of Macroeconomics Macro Finance Optimal monetary policy, parameter uncertainty, Taylor rule 2014
2015

Monetary Policy and Risk Taking

Ignazio Angeloni, Marco Lo Duca, Ester Faia Journal of Economic Dynamics and Control Macro Finance bank runs, risk taking, monetary policy 2015
2015

Trust Me! I am a European Central Banker

Dirk Bursian, Sven Fürth Journal of Money, Credit and Banking Macro Finance, Systemic Risk Lab Central Banking, European Central Bank, Financial Crisis, Fiscal Crisis, Trust 2015
2017

Aging and Pension Reform: Extending the Retirement Age and Human Capital Formation

Axel Börsch-Supan, Alexander Ludwig, Edgar Vogel Journal of Pension Economics & Finance Household Finance, Macro Finance population aging, human capital, welfare, pension reform, retirement age, open economy 2017
2015

The Output Effect of Fiscal Consolidation Plans

Carlo Favero, Francesco Giavazzi, Andreas Müller Journal of International Economics Macro Finance fiscal adjustment, confidence, investment 2015
2015

Trust in Government and Fiscal Adjustments

Dirk Bursian, Alfons Weichenrieder, Jochen Zimmer International Tax and Public Finance Macro Finance, Systemic Risk Lab trust, debt sustainability, fiscal reaction function, euro area, EU 2015
2015

Social Security in an Analytically Tractable Overlapping Generations Model with Aggregate and Idiosyncratic Risk

Daniel Harenberg, Alexander Ludwig International Tax and Public Finance Household Finance, Macro Finance social security, idiosyncratic risk, aggregate risk, welfare, insurance, crowding out 2015
2015

Too Interconnected to Fail: A Survey of the Interbank Networks Literature

Anne-Caroline Hüser Journal of Network Theory in Finance Macro Finance Interbank networks, systemic risk, contagion, banking, macro-prudential policy 2015
2016

Informal Sector and Economic Growth: The Credit Supply Channel

Baptiste Massenot, Stéphane Straub Economic Inquiry Macro Finance 2016

Working Papers

Title Author/s No. Research Area Year Keywords Published

Trust in the Monetary Authority

Dirk Bursian, Ester Faia 14 Macro Finance 2013 trust evolutionary games, risk perception, monetary transmission mechanism 201301

Endogenous Banks’ Networks, Cascades and Systemic Risk

Marcel Bluhm, Ester Faia, Jan Pieter Krahnen 12 Systemic Risk Lab, Macro Finance 2013 network formation, tâtonnement, contagion 201301

Monetary Policy and Risk Taking

Ignazio Angeloni, Marco Lo Duca, Ester Faia 8 Macro Finance 2013 bank runs, risk taking, monetary policy 201301

Bank and Sovereign Debt Risk Connection

Ester Faia, Diego Rodriguez Palenzuel, Matthieu Darracq Paries 7 Systemic Risk Lab, Macro Finance 2013 liquidity risk, sovereign risk, capital regulations 201301

Euro Membership and Fiscal Reaction Functions

Alfons Weichenrieder, Jochen Zimmer 18 Macro Finance 2013 debt sustainability, fiscal reaction function, euro area 201301

Trust in Government and Fiscal Adjustments

Dirk Bursian, Alfons Weichenrieder, Jochen Zimmer 22 Macro Finance, Systemic Risk Lab 2013 trust, debt sustainability, fiscal reaction function, euro area, EU 201301

Input-Output-Based Measures of Systemic Importance

Iñaki Aldasoro, Ignazio Angeloni 29 Systemic Risk Lab, Macro Finance 2013 banks, input-output, systemic risk, too-interconnected-to-fail, networks, interbank markets 201301

Optimal Policy and Taylor Rule Cross-Checking Under Parameter Uncertainty

Dirk Bursian, Markus Roth 30 Macro Finance 2013 Optimal monetary policy, parameter uncertainty, Taylor rule 201301

Trust Me! I am a European Central Banker

Dirk Bursian, Sven Fürth 31 Macro Finance, Systemic Risk Lab 2013 Central Banking, European Central Bank, Financial Crisis, Fiscal Crisis, Trust 201301

Game-Theoretic Foundations of Monetary Equilibrium

Gabriele Camera, Alessandro Gioffré 32 Macro Finance 2013 Social norms, repeated games, cooperation, payment systems 201301

Two Monetary Models with Alternating Markets

Gabriele Camera, YiLi Chien 33 Macro Finance 2013 cash-in-advance, matching, microfoundations, money, inflation 201301

Monetary Policy Implementation in an Interbank Network: Effects on Systemic Risk

Marcel Bluhm, Ester Faia, Jan Pieter Krahnen 46 Systemic Risk Lab, Macro Finance 2014 Network formation, contagion, central banks' interventions 201401

Systemic Risk in an Interconnected Banking System with Endogenous Asset Markets

Marcel Bluhm, Jan Pieter Krahnen 48 Systemic Risk Lab, Macro Finance 2014 systemic risk, systemic risk charge, macroprudential supervision, Shapley value, financial network 201401

An Experiment on Retail Payments Systems

Stefania Bortolotti, Gabriele Camera, Marco Casari 49 Macro Finance 2014 money, coordination, pricing, transactions 201401

Exit Strategies

Ignazio Angeloni, Ester Faia, Roland Winkler 50 Macro Finance 2014 exit strategies, debt consolidation, ?fiscal policy, ?fiscal multipliers, monetary policy, bank runs 201401

Mutual Excitation in Eurozone Sovereign CDS

Yacine Aït-Sahalia, Roger J. A. Laeven, Loriana Pelizzon 51 Systemic Risk Lab, Financial Markets, Macro Finance 2014 CDS, Sovereign risk, Systemic risk, Jumps, Feedback, Hawkes processes, Mutually exciting processes, Impulse-response 201401

Idiosyncratic Risk, Aggregate Risk, and the Welfare Effects of Social Security

Daniel Harenberg, Alexander Ludwig 59 Household Finance, Macro Finance 2014 social security, idiosyncratic risk, aggregate risk, welfare 201401

Vertical Fiscal Imbalances and the Accumulation of Government Debt

Iñaki Aldasoro, Mike Seiferling 61 Macro Finance 2014 fiscal decentralization, vertical fiscal imbalances, panel data, public debt, GFSY 201401

Control Thyself: Self-Control Failure and Household Wealth

Nina Biljanovska, Spyridon Palligkinis 69 Household Finance, Macro Finance 2014 Self-Control, Household Wealth, Household Finance 201401

Social Security in an Analytically Tractable Overlapping Generations Model with Aggregate and Idiosyncratic Risk

Daniel Harenberg, Alexander Ludwig 71 Household Finance, Macro Finance 2014 social security, idiosyncratic risk, aggregate risk, welfare, insurance, crowding out 201401

Endogenous Grids in Higher Dimensions: Delaunay Interpolation and Hybrid Methods

Alexander Ludwig, Matthias Schön 72 Household Finance, Macro Finance 2014 Dynamic Models, Numerical Solution, Method of Endogenous Gridpoints, Delaunay Interpolation 201401

A Life-Cycle Model with Ambiguous Survival Beliefs

Max Groneck, Alexander Ludwig, Alexander Zimper 73 Household Finance, Macro Finance 2014 Cumulative prospect theory, Choquet expected utility, Dynamic inconsistency, Life-cycle hypothesis, Saving puzzles 201401

The Output Effect of Fiscal Consolidation Plans

Carlo Favero, Francesco Giavazzi, Andreas Müller 76 Macro Finance 2014 fiscal adjustment, confidence, investment 201401

Does Austerity Pay Off?

Benjamin Born, Gernot J. Müller, Johannes Pfeifer 77 Macro Finance 2014 Fiscal policy, austerity, sovereign risk, yield spreads, confidence, panel VAR, local projections, fiscal stress 201401

Austerity

Harris Dellas, Dirk Niepelt 78 Macro Finance 2014 Austerity, credit rationing, default, incomplete information, investment, growth, pooling equilibrium, separating equilibrium 201401

The Time for Austerity: Estimating the Average Treatment Effect of Fiscal Policy

Òscar Jordà, Alan M. Taylor 79 Macro Finance 2014 fiscal multipliers, booms, slumps, output fluctuations, allocation bias, matching, Rubin Causal Model, average treatment effect, propensity score, inverse probability weighting, regression adjustment, local projection, identification 201401

Saving Europe?: The Unpleasant Arithmetic of Fiscal Austerity in Integrated Economies

Enrique G. Mendoza, Linda L. Tesar, Jing Zhang 80 Macro Finance 2014 European debt crisis, tax competition, capacity utilization, fiscal austerity 201401

Aging and Pension Reform: Extending the Retirement Age and Human Capital Formation

Axel Börsch-Supan, Alexander Ludwig, Edgar Vogel 82 Household Finance, Macro Finance 2015 population aging, human capital, welfare, pension reform, retirement age, open economy 201501

Bank Networks: Contagion, Systemic Risk and Prudential Policy

Iñaki Aldasoro, Domenico Delli Gatti, Ester Faia 87 Macro Finance 2015 banking networks, centrality metrics, systemic risk 201501

Cross-Border Resolution of Global Banks

Ester Faia, Beatrice Weder di Mauro 88 Macro Finance 2015 single point of entry, multiple point of entry, strategic interaction of regulators, financial spillover, financial retrenchment 201501

Does Exchange of Information between Tax Authorities Influence Multinationals’ Use of Tax Havens?

Julia Braun, Alfons Weichenrieder 89 Macro Finance 2015 Tax havens, tax information exchange agreements, location decisions, international taxation 201501

Fiscal Stimulus and Labor Market Flexibility

Pinar Topal 90 Macro Finance 2015 fiscal policy, labour economics, labour market policies, threshold vector auto-regressive models, panel VAR, non-linear VAR, impulse analysis 201501

Too Interconnected to Fail: A Survey of the Interbank Networks Literature

Anne-Caroline Hüser 91 Macro Finance 2015 Interbank networks, systemic risk, contagion, banking, macro-prudential policy 201501

Optimal Carbon Abatement in a Stochastic Equilibrium Model with Climate Change

Christoph Hambel, Holger Kraft, Eduardo S. Schwartz 92 Systemic Risk Lab, Macro Finance 2015 Climate change economics, Carbon abatement, GDP growth 201501

Revisiting the Narrative Approach of Estimating Tax Multipliers

Shafik Hebous, Tom Zimmermann 93 Macro Finance 2015 Narrative Approach, Fiscal Stabilization, Tax Multiplier, Weak Instruments 201501

Multiplex interbank networks and systemic importance: An application to European data

Iñaki Aldasoro, Iván Alves 102 Macro Finance 2015 interbank networks, systemic importance, multiplex networks 201501

Credit Cycles: Experimental Evidence

Sascha Baghestanian, Baptiste Massenot 104 Macro Finance 2015 - 201501

A Decentralization Theorem of Taxation

Vilen Lipatov, Alfons Weichenrieder 105 Macro Finance 2015 fiscal federalism, taxing rights, decentralization theorem 201501

On the Optimal Provision of Social Insurance

Dirk Krueger, Alexander Ludwig 110 Macro Finance 2015 Progressive Taxation, Education Subsidy, Transitional Dynamics 201501

Are Tax Havens Good? Implications of the Crackdown on Secrecy

Alfons Weichenrieder, Fangying Xu 111 Macro Finance 2015 Tax haven, secrecy, tax information exchange, China, India 201501

On Deficits and Symmetries in a Fiscal Capacity

Shafik Hebous, Alfons Weichenrieder 112 Macro Finance 2015 fiscal union, asymmetric shocks, federal transfers, optimum currency area 201501

Aggregate and Distributional Effects of Increasing Taxes on Top Income Earners

Bettina Brüggemann, Jinhyuk Yoo 113 Macro Finance 2015 Top Income Taxation, Heterogeneous Agents, Incomplete Markets, Income and Wealth Inequality 201501

Preference Evolution and the Dynamics of Capital Markets

Giuliano Curatola 128 Macro Finance 2016 Asset pricing, general equilibrium, heterogeneous investors, interdependent preferences, portfolio choice 201601

Understanding the Shift from Micro to Macro-Prudential Thinking: A Discursive Network Analysis

Mohamed Aldegwy, Edin Ibrocevic, Matthias Thiemann 136 Macro Finance 2016 Banking Regulation, Systemic Risk, Formalism, Equilibrium Thinking, Discourse, Citation Network Analysis 201601

How Economics Got it Wrong: Formalism, Equilibrium Modelling and Pseudo-Optimization in Banking Regulatory Studies

Mohamed Aldegwy, Matthias Thiemann 138 Macro Finance 2016 Sociology of Finance, Optimal Regulation, Dynamic and Reliable Regulation, Banking Regulation, Financial Crisis 201601

Secular Stagnation? Growth, Asset Returns and Welfare in the Next Decades: First Results

Raphael Abiry, Christian Geppert, Alexander Ludwig 145 Macro Finance 2016 secular stagnation; demographic change; overlapping generations; natural rate; equity premium; growth; welfare; human capital 201601

Informal Sector and Economic Development: The Credit Supply Channel

Baptiste Massenot, Stéphane Straub 106 Macro Finance 2015 - 201501

Asymmetric Social Norms

Gabriele Camera, Alessandro Gioffré 162 Macro Finance 2017 cooperation, repeated games, social dilemmas 201701

The Impact of Biases in Survival Beliefs on Savings Behavior

Max Groneck, Alexander Ludwig, Alexander Zimper 169 Macro Finance, Household Finance 2017 saving puzzles, subjective survival beliefs, behavioral economics, prospect theory, neo-additive probability weighting, dynamic inconsistency, sophisticated versus naive behavior, quasi-hyperbolic discounting 201703

Policy Papers

Year Title Author/s Research Area Keywords Year
October 2016

Central Banks – from Overburdening to Decline?

Otmar Issing Macro Finance Central Banking, ECB, Monetary Policy 2016-10
June 2016

Panama & Co: Implikationen für die Steuerpolitik

Alfons Weichenrieder Macro Finance Steuerhinterziehung, Steuervermeidung, Steueroasen, Briefkastenfirmen, Panama Papers 2016-06
May 2016

Demographischer Wandel: Kapitalrenditen, Löhne und Verteilungswirkungen

Alexander Ludwig Macro Finance Demographischer Wandel, Migration, säkulare Stagnation, Kapitalrenditen, Ungleichheit 2016-05
April 2016

Euro area shadow banking activities in a low-interest-rate environment: a flow-of-funds perspective

Günter Beck, Hans-Helmut Kotz Financial Institutions, Macro Finance Non-bank financial intermediation, shadow banking, financial stability, systemic risk, financial regulation, low interest rate environment 2016-04
April 2016

Lost in translation? ECB’s monetary impulses and financial intermediaries’ responses

Günter Beck, Hans-Helmut Kotz, Natalia Zabelina Financial Institutions, Macro Finance Non-bank financial intermediation, interest-rate channel, credit channel, risk-taking channel of monetary policy, market-based financial intermediation, monetary transmission mechanism, waterbed effect 2016-04
April 2016

Mere criticism of the ECB is no solution

Marcel Fratzscher, Reint Gropp, Hans-Helmut Kotz, Jan Pieter Krahnen, Christian Odendahl, Beatrice Weder di Mauro, Guntram B. Wolff Macro Finance eurozone, crisis, monetary policy 2016-04
February 2015

Greece: Threatening Recovery

Alfons Weichenrieder Macro Finance Financial Assistance, Conditionality 2015-02
April 2015

The Legal Framework for the European System of Central Banks

Helmut Siekmann Macro Finance economic and monetary union, euro, monetary policy, economic policy 2015-04
May 2015

Stellungnahme zu den Plänen einer Erbschaftsteuerreform

Alfons Weichenrieder Macro Finance Steuerpolitik, Erbschaftsteuer, Schenkungsteuer 2015-05
July 2015

Drei Thesen zur Griechenlandkrise

Jan Pieter Krahnen Macro Finance Währungsunion, Fiskalunion, Politische Union 2015-07
July 2015

Three Theses on the Greek Crisis

Jan Pieter Krahnen Macro Finance Monetary Union, Fiscal Union, Political Union 2015-07
June 2015

Escalating Crisis in the Eurozone: The Case for Conditional Debt Relief for Greece

Reinhard H. Schmidt Macro Finance Greek crisis, structural reforms, debt sustainability 2015-06
July 2015

Ein ESM Programm ist nicht zu rechtfertigen

Alfons Weichenrieder Macro Finance Vertrag über die Arbeitsweise der EU (AEUV), ESM, Währungsunion 2015-07
July 2015

Towards a Fiscal Union? On the Acceptability of a Fiscal Transfer System in the Eurozone

Shafik Hebous, Alfons Weichenrieder Macro Finance EMU, Eurozone, European unemployment insurance, fiscal transfers 2015-07
September 2015

Euro Area Macro-Financial Stability: A Flow-of-Funds Perspective

Günter Beck, Hans-Helmut Kotz, Natalia Zabelina Financial Institutions, Macro Finance Bank and non-bank financial intermediation, shadow banking, financial stability, systemic risk, financial regulation 2015-09
September 2015

Did emergency liquidity assistance (ELA) of the ECB delay the bankruptcy of Greek banks?

Martin Götz, Rainer Haselmann, Jan Pieter Krahnen, Sascha Steffen Financial Institutions, Macro Finance emergency liquidity assistance (ELA), economic and monetary union, banking supervision, Greece 2015-09
September 2015

Waren die ELA-Notkredite der EZB für griechische Banken eine Konkursverschleppung?

Martin Götz, Rainer Haselmann, Jan Pieter Krahnen, Sascha Steffen Financial Institutions, Macro Finance emergency liquidity assistance (ELA), Währungsunion, Bankenaufsicht, Griechenland 2015-09
May 2014

Europa und die Instabilität des Rechts

Helmut Siekmann Macro Finance Europarecht, Rechtsdurchsetzung, EZB 2014-05
June 2014

Im Schatten der Lowflation

Alfons Weichenrieder Macro Finance Deflation, Zentralbanken, Quantitative Lockerung 2014-06
June 2014

Monetary Policy and Balance Sheet Adjustment

Otmar Issing Macro Finance recession, monetary policy, balance sheet adjustment 2014-06
June 2014

Forward Guidance: A New Challenge for Central Banks

Otmar Issing Macro Finance central bank communication, monetary policy, forward guidance 2014-06
June 2014

Der makroprudenzielle Komplex: der Prozess, das Schloss, das Urteil

Hermann Remsperger Macro Finance makroprudenzielle Regulierung, Finanzstabilität, Europäische Zentralbank 2014-06
September 2014

National Strategic Framework for Research and Innovation 2014 - 2020

Michael Haliassos Macro Finance Greece, growth, innovation 2014-09
October 2014

Keine Institutionenkonkurrenz auf nationaler Ebene schaffen: das „doppelte AIDA“-Modell

Jan Pieter Krahnen Macro Finance Bankenaufsicht, Bankenabwicklung, Bundesbank, Bafin 2014-10
October 2014

What Do We Know about the Tax Planning of German-Based Multinational Firms?

Shafik Hebous, Alfons Weichenrieder Macro Finance taxation, foreign direct investment, multinational firms 2014-10
March 2014

The Fiscal Compact and Government Debt: One Law, Multiple Statistics

Iñaki Aldasoro, Ester Faia Macro Finance government debt, statistics, Fiscal Compact 2014-03
November 2014

PPPs: Umgehung von Defizitregeln oder höhere Effizienz im Staatssektor?

Alfons Weichenrieder Macro Finance Schuldenbremse, Defizitregeln, Private Public Partnership (PPP) 2014-11
February 2015

Austerity and Growth – Concepts for Europe

Alfons Weichenrieder Macro Finance Fiscal Consolidation, Sovereign Debt, Growth 2015-02
February 2015

Die letzte Waffe - Helicopter Money?

Otmar Issing Macro Finance Quantitative Easing, European Central Bank, Geldpolitik 2015-02
February 2012

Zwei Makrooekonomen gewinnen den Nobelpreis

Volker Wieland, Maik Wolters Macro Finance makroökonomische Konjunkturforschung, vektorautoregressive Modelle, monetäre Makroökonomik 2012-02
February 2012

Macroeconomic Model Comparisons and Forecast Competition

Volker Wieland, Maik Wolters Macro Finance macroeconomic models, financial models, forecasting 2012-02
April 2013

What happened in Cyprus

Athanasios Orphanides Macro Finance financial crisis, troika, Cyprus 2013-04
January 2013

Salary Cuts and Competitiveness

Michael Haliassos Macro Finance Greek economic crisis, productivity, structural reforms 2013-01
March 2008

Ensuring Financial Stability: Financial Structure and the Impact of Monetary Policy and Asset Prices

Katrin Assenmacher-Wesche, Stefan Gerlach Macro Finance asset prices, monetary policy, panel VAR 2008-03
June 2013

The European Central Bank’s Outright Monetary Transactions and the Federal Constitutional Court of Germany

Helmut Siekmann, Volker Wieland Macro Finance ECB, OMT, monetary policy, fiscal policy 2013-06
September 2013

Challenges for Monetary Policy

Otmar Issing Macro Finance ECB, OMT, central banking 2013-09
February 2014

Energiewende, Butterberge und das Kiwi-in-Grönland-Problem

Alfons Weichenrieder Macro Finance Erneuerbare-Energien-Gesetz, Energiewende, Steuergelder 2014-02
March 2014

Transcript of a hearing before Members of the House of Lords (UK) in Frankfurt on Genuine Economic and Monetary Union and its Implication for the UK

Otmar Issing, Jan Pieter Krahnen Macro Finance Monetary Union, European Central Bank, Outright Monetary Transactions, UK 2014-03
March 2011

Das Prinzip der Selbstbindung

Alfons Weichenrieder Macro Finance Schuldenbremse, Haushaltspolitik, Staatsverschuldung 2011-03
February 2012

Next Hike End of 2014: FOMC Matches Historical Responses to Member’s Forecasts and Risks Repeating Earlier Mistakes

Volker Wieland Macro Finance federal funds rate, interest rates, inflation forecasts 2012-02
January 2011

Notenbanker müssen zunehmend Finanzmarkterfahrung haben

Stefan Gerlach Macro Finance Ernennungspraxis von Zentralbankern, Finanzfachkenntnis, moderne Notenbanker 2011-01
July 2009

Dem Druck standhalten

Volker Wieland Macro Finance Geldpolitik, EZB 2009-07
September 2009

Eurozone stimulus: A myth, some facts, and estimates

Volker Wieland Macro Finance fiscal stimulus packages 2009-09
May 2009

"Neue" Regeln für die Notenbanken?

Volker Wieland Macro Finance Geldpolitik, Taylor-Regel 2009-05
September 2011

Law and Economics of the Monetary Union

Helmut Siekmann Macro Finance Euro, sovereign debt crisis, legal foundations 2011-09
September 2011

Eurobonds zur Bewältigung der europäischen Krise? Wegweisung zu einer modernen Entwicklungsunion

Hans-Helmut Kotz, Jan Pieter Krahnen, Christian Leuz, Helmut Siekmann Macro Finance Eurobonds, Staatsschuldenkrise, Europäische Union 2011-09
October 2010

Inflation targeting matters in Asia

Stefan Gerlach, Peter Tillmann Macro Finance inflation targeting 2010-10
October 2010

Inflation Targeting: In Asien besonders erfolgreich

Stefan Gerlach, Peter Tillmann Macro Finance inflation targeting 2010-10
May 2011

Liquidity Management and the Reform of the International Monetary System

Volker Wieland Macro Finance international monetary system, reserve currencies, liquidity 2011-05
June 2011

Getting Greece Back on Track: How?

Michael Haliassos, Dimitri Vayanos Macro Finance financial crisis, structural reforms, productivity 2011-06
January 2010

A credible Stability and Growth Pact: Raising the bar for budgetary transparency

Stefan Gerlach Macro Finance public debt, ECB 2010-01
May 2010

How to be a good European...

Volker Wieland Macro Finance Schuldenkrise 2010-05
March 2009

The fiscal stimulus debate "Bone-headed" and "Neanderthal"?

Volker Wieland Macro Finance fiscal policy, new Keynesian macroeconomic models 2009-03
September 2010

Banking and Sovereign Risk in the Euro Area

Stefan Gerlach, Alexander Schulz, Guntram B. Wolff Macro Finance sovereign bond markets, banking, liquidity, EMU 2010-09
December 2011

Verschwenderische Südeuropäer?

Michael Haliassos Macro Finance Staatsschuldenkrise, Europäische Währungsunion, Arbeitsproduktivität 2011-12
December 2011

Prodigal Italy Greece Spain?

Michael Haliassos Macro Finance http://safe-frankfurt.de/policy-publications/administrator/components/com_jresearch/files/publications/Haliassos_Prodigal_Italy_Greece_Spain.pdf 2011-12
December 2011

Ordnungspolitik gegen Systemrisiken

Hermann Remsperger Macro Finance systemisches Risiko, Geldpolitik 2011-12
December 2011

Der Weg in die Knechtschaft

Otmar Issing Macro Finance Freiheit, soziale Marktwirtschaft, Basisdemokratie 2011-12
December 2011

Europa - wohin

Bertram Schefold Macro Finance Europäische Währungsunion, Strukturanpassungen, Europäische Integration 2011-12
October 2011

Rechtsbrüche im Euroraum

Helmut Siekmann Macro Finance Europäische Währungsunion, Währungsrecht, Europarecht 2011-10
August 2011

Geldpolitik vor der Krise

Stefan Gerlach, Laura Moretti Macro Finance Geldpolitik, reale Zinssätze, Finanzkrise 2011-08
August 2011

Monetary policy before the crisis

Stefan Gerlach, Laura Moretti Macro Finance monetary policy, real interest rates, financial crisis 2011-08
August 2011

Ein makroprudenzielles Mandat für die Bundesbank

Hermann Remsperger Macro Finance makroprudenzielle Regulierung, Finanzstabilität, Bundesbank 2011-08
June 2011

Reforms or Bankruptcy?

Michael Haliassos Macro Finance Greek economic crisis, public debt, structural reforms 2011-06
November 2012

Gender Balance in the ECB's Executive Board

Laura Moretti Macro Finance gender equality, ECB Executive Board 2012-11
August 2012

Nationality and the ECB's Executive Board

Laura Moretti Macro Finance European Monetary Union, institutional design 2012-08
September 2012

Die Notenbanken und das liebe Geld: Von Zinsen, Inflation und konjunktureller Überhitzung

Volker Wieland Macro Finance Zentralbanken, Inflationssteuerung, Geldpolitik 2012-09
May 2012

Central Bank Independence: Does the Governor's Passport Matter?

Laura Moretti Macro Finance central bank independence, central bank governor 2012-05
April 2012

Finanzstabilität im Bundestag

Hermann Remsperger Macro Finance Finanzstabilitätsgesetz; makroprudenzielle Regulierung; Zentralbank 2012-04
February 2012

Support Mechanisms Pose Fundamental Legal Questions

Helmut Siekmann Macro Finance sovereign debt crisis, ESM, EFSF, new fiscal compact 2012-02
April 2013

Zentralbankpolitik: Überforderung statt Langeweile?

Hermann Remsperger Macro Finance makroprudenzielle Regulierung; Zentralbank; Bankenaufsicht 2013-04
January 2013

Löhne kürzen schadet der Wettbewerbsfähigkeit

Michael Haliassos Macro Finance Griechenland, strukturelle Reformen, Arbeitsproduktivität 2013-01
June 2012

The Greek Crisis Two Years On: Policy Options and Resolution Prospects

Lucas Papademos Macro Finance Greece; fiscal adjustment; European Monetary Union 2012-06
May 2012

Central Banks – Paradise Lost?

Otmar Issing Macro Finance central bank mandate, financial stability 2012-05
May 2012

Systemic Risks and Central Banks

Hermann Remsperger Macro Finance macroprudential regulation, monetary policy, Financial Stability Act 2012-05
September 2012

Grosser Beifall von allen Seiten

Otmar Issing Macro Finance Europäische Währungsunion, politische Union, Eurobonds 2012-09
April 2012

Der Weg aus der Krise

Otmar Issing Macro Finance Währungsunion, Fiskalunion, Eurobonds 2012-04
August 2012

The Problem with Envisaging an Exit

Laura Moretti Macro Finance 2012-08
August 2012

Jeder muss sich selbst helfen

Otmar Issing Macro Finance Europäische Währungsunion, politische Union 2012-08
November 2011

Moral hazard will result from ECB bond buying

Otmar Issing Macro Finance lender of last resort, ECB, sovereign debt 2011-11
September 2015

Financial Regulation: A Transatlantic Perspective

Ester Faia, Andreas Hackethal, Michael Haliassos, Katja Langenbucher Financial Institutions, Household Finance, Macro Finance banking union, microprudential regulation, macroprudential regulation, investor protection, borrower protection 2015-09
February 2014

Politically Acceptable Debt Restructuring in the Euro Zone: Is it Really Better than the Redemption Fund?

Ester Faia Macro Finance public debt, debt restructuring 2014-02
May 2012

On the Potential Threats from a Greek Eurozone Exit

Ester Faia Macro Finance European Monetary Union, TARGET balances, inflation 2012-05
February 2011

Europas Staaten brauchen Stresstests

Stefan Gerlach Macro Finance Stabilitäts- und Wachstumspakt, Fiskalpolitik 2011-02
December 2010

EU Economic Governance

Stefan Gerlach Macro Finance Stability and Growth Pact, Excessive Imbalance Procedure, national fiscal frameworks 2010-12
October 2010

Strengthening the Institutional Underpinnings of the Euro

Stefan Gerlach Macro Finance Stability and Growth Pact, fiscal policy, public debt 2010-10
August 2010

Makroprudentielle Politik zur Stabilisierung der Finanzmärkte

Stefan Gerlach Macro Finance makroprudentielle Instrumente, Regulierung 2010-08
June 2010

The Greek Sovereign Debt Crisis and ECB Policy

Stefan Gerlach Macro Finance public debt, ECB 2010-06
June 2010

Are the Golden Years of Central Banking Over? Monetary Policy after the Crisis

Stefan Gerlach Macro Finance monetary policy, public debt, central banks 2010-06
April 2010

G20 and Macroprudential Policy

Stefan Gerlach Macro Finance At the upcoming G20 meetings the issue what can be done to avoid a repetition of the current deep financial crisis will again be debated. Much attention and criticism will be directed to central banks. That is unavoidable: central banks must never again p 2010-04
March 2010

Zur Stärkung der Deutschen Bundesbank

Stefan Gerlach, Emilie Yoo Macro Finance Die zum Ende April 2010 frei werdenden zwei Vorstandsposten in der Deutschen Bundesbank haben bereits Anfang des Jahres eine lebhafte Debatte über mögliche Kandidaten ausgelöst. Die Diskussion über eine weitaus wesentlichere Frage, nämlich welche fachlich 2010-03
March 2010

Future Development of Global Imbalances

Stefan Gerlach Macro Finance current account balances, international monetary system, G20 2010-03
October 2009

Asset Prices and Monetary Policy: Some Skeptical Observations

Stefan Gerlach Macro Finance monetary policy, macroecomomic fluctuations, regulation 2009-10
April 2009

The Risk of Deflation

Stefan Gerlach Macro Finance deflation, monetary policy, fiscal policy 2009-04
March 2008

Can monetary policy really be used to stabilise asset prices?

Stefan Gerlach Macro Finance monetary policy, asset prices 2008-03

Research Projects

Category Project Researcher Project Duration Keywords Project ID Publication Count
Macro Finance

On the Interactions Between Monetary Policy, Distributions and General Equilibrium

Alexander Ludwig, Jorge Alejandro Quintana, Mirko Wiederholt 2017 Monetary policy; general equilibrium; distribution; heterogeneous agents; New Keynesian models 21523 0
Macro Finance

The Macroeconomic and Distributional Implications of the Refugee Wave

Dirk Krueger, Alexander Ludwig 2017 21002 0
Macro Finance, Household Finance

Optimal Taxation and Education Subsidies

Fabian Becker, Dirk Krueger, Alexander Ludwig 2016 21002 1
Macro Finance

Solving Nonlinear Expectations Models by Approximating the Stochastic Equilibrium System: Application to Global Solution Methods

Michael P. Evers, Markus Kontny 2016 Solving stochastic dynamic equilibrium models; Global solution methods; Uncertainty in econcomic modelling; Risk decomposition of the solution 21521 0
Financial Institutions, Macro Finance

Stability through Deliberation: Finance and Public Law

Matthias Goldmann 2016 21193 1
Macro Finance

Preparedness for Retirement and Old Age Poverty in Germany

Raphael Abiry, Patricia Gallego Granados, Johannes Geyer, Nils Grevenbrock, Peter Haan, Osman Küçüksen, Alexander Ludwig, Holger Lüthen 2016 old age poverty, preparedness for retirement, pension reform 21522 0
Financial Markets, Macro Finance

Quantitative Easing and Financial (In)Stability

Marcel Bluhm, Co-Pierre Georg, Jan Pieter Krahnen, Jun Li, Xu Liu, Loriana Pelizzon, Christian Schlag, Marti Subrahmanyam, Matthias Thiemann, Jun Uno 2016 21480 1
Financial Markets, Macro Finance

Macroeconomic bond risks in the presence of the zero lower bound

Nicole Branger, Liu Liu, Christian Schlag, Ivan Shaliastovich, Dongho Song 2016 Macrofinance, bond pricing, market expectations, inflation, growth 21630 1
Macro Finance, Household Finance

Tax treatment and inequality in labor market behavior

Nicola Fuchs-Schündeln, Paul Reimers 2016 21670 1
Macro Finance, Household Finance

Financial Frictions and Inequality

Alexander Ludwig, Alexander Monge-Naranjo, Ctirad Slavik, Faisal Sohail 2016 21670 1
Macro Finance, Financial Markets

The impact of unconventional monetary policies on European financial markets

Massimiliano Caporin, Loriana Pelizzon, Alberto Plazzi, Roberto Rigobon 2016 21630 1
Macro Finance, Financial Institutions, Corporate Finance, Financial Markets

Bailouts and financial stability: Experimental evidence

Paul Gortner, Baptiste Massenot 2016 21650 1
Macro Finance, Financial Markets

The impact of QE interventions on market liquidity and limits to arbitrage

Loriana Pelizzon, Marti Subrahmanyam, Jun Uno, Clara Vega 2016 21630 1
Macro Finance, Financial Institutions, Corporate Finance, Financial Markets

Capital requirements and financial stability: Experimental evidence

Paul Gortner, Baptiste Massenot 2016 21650 1
Macro Finance, Household Finance

Inequality and Assortative Matching

Nicola Fuchs-Schündeln, Zhao Jin, Alexander Ludwig 2016 21670 1
Macro Finance

Secular Stagnation? Growth, Asset Returns and Welfare in the Next Decades

Raphael Abiry, Christian Geppert, Dirk Krueger, Alexander Ludwig 2016 demographic change; macroeconomics; asset pricing; government debt 21520 1
Macro Finance

Survey Evidence on Extrapolative Expectations

Baptiste Massenot 2016 0
Macro Finance

The Welfare Effects of Social Security with Individual and Aggregate Risk: A Macroeconomic Analysis

Christopher Busch, Christian Geppert, Nils Grevenbrock, Daniel Harenberg, Alexander Ludwig 2015 21592 1
Macro Finance

Networks of speculative currencies: equilibrium existence and sustainability

Ester Faia, Annalisa Molino 2014 money, payment systems, digital currency, dynamic optimization 11529 0
Macro Finance, Systemic Risk Lab

Sovereign, bank and insurance credit spread: connectedness and system networks

Monica Billio, Lorenzo Frattarolo, Mila Getmansky Sherman, Dale F. Gray, Andrew Lo, Robert Merton, Loriana Pelizzon, Michael Schmidt 2014 12124 0
Macro Finance

Fragility of Credit Markets

Sascha Baghestanian, Baptiste Massenot 2014 Experimental Loan Markets, Gambler's Fallacy, House Money Effect, Break Even Effect 11528 1
Macro Finance

New fiscal institutions for Europe?

Shafik Hebous, Alfons Weichenrieder 2014 Fiscal institutions, Fiscal Union, Fiscal capacity, Asymmetric shocks, Fiscal federalism in Europe 11531 1
Macro Finance

Do Basel III and the Dodd-Frank Act reflect the academic debate on macro-prudential regulation

Mohamed Aldegwy, Suramya Shukla, Matthias Thiemann 2014 11530 1
Macro Finance

Preference Evolution and Asset Prices

Giuliano Curatola, Ilya Dergunov 2014 11527 1
Macro Finance, Systemic Risk Lab

Risk Cascades in Banking Networks and the Measurement of Systemic Risk

Iñaki Aldasoro, Ester Faia, Anne-Caroline Hüser 2014 liquidity hoarding, contagion channels, global games 11591 1
Macro Finance, Household Finance

Subjective Survival Beliefs and Savings Decisions

Nils Grevenbrock, Max Groneck, Alexander Ludwig, Alexander Zimper 2014 21002 1
Macro Finance

Macroeconomic Effects of Demographic Change

Christopher Busch, Axel Börsch-Supan, Jesus Fernandez-Villaverde, Klaus Härtl, Dirk Krueger, Alexander Ludwig, Matthias Schön 2014 21002 1
Macro Finance, Household Finance

Housing wealth across cultures, institutional environments, and life cycles

Enzo Cerletti, Ester Faia, Michael Haliassos, Spyridon Palligkinis 2014 housing investment, status utility, bequest, portfolio decisions, borrowing constraints 11524 0
Macro Finance

Microfoundations of Money

Gabriele Camera, Alessandro Gioffré 2014 Social norms, Repeated games, Cooperation, Institutions, Payment systems 11523 1
Macro Finance

The Evolution and Heterogeneity of Credit Risk in the Euro Area

Pooyan Amir Ahmadi, Oreste Tristani 2014 credit risk, corporate credit spreads, default-risk premium, economic fluctuations, sovereign risk 11525 0
Macro Finance

Monetary Policy under Uncertainty: Money Growth and the Risk-taking Channel

Günter Beck, Robert Beyer, Volker Wieland 2013 Money growth and monetary policy, Risk taking channel and monetary policy 11521 0
Macro Finance

Macroeconomic Modeling after the Financial Crisis: Including Models with Financial Frictions and Forecasting & Policy Evaluation Tools into the Macroeconomic Model Database

Meguy Kuété Ngouging, Sebastian Schmidt, Fabio Verona, Volker Wieland, Maik Wolters, Jinhyuk Yoo 2013 Macroeconomic Modeling, Financial Crisis, Financial Frictions, Macroeconomic forecasting, Macroeconomic policy evaluation, Monetary policy 11522 1
Macro Finance

Debt Market Imperfections and Macroeconomic Implications

Giuliano Curatola, Ester Faia, Nora Franken, Henning Hesse, Christian Hirsch, Sören Karau, Jan Pieter Krahnen, Valeria Patella, Christian Wilde 2012 11191 1

Current Research Team

Researcher Position
Abiry, Raphael Research Assistant
Amir Ahmadi, Pooyan External Researcher
Beck, Günter External Researcher, CFS/SAFE Fellow
Becker, Fabian Research Assistant
Curatola, Giuliano Assistant Professor
Dergunov, Ilya Research Assistant
Evers, Michael P. Professor
Fuchs-Schündeln, Nicola Professor
Gallego Granados, Patricia Research Assistant
Gioffré, Alessandro Assistant Professor
Goldmann, Matthias Assistant Professor
Grevenbrock, Nils Research Assistant
Haan, Peter External Researcher
Hesse, Henning Research Assistant
Hirsch, Christian Assistant Professor
Hou, Jia Research Assistant
Jin, Zhao Research Assistant
Karau, Sören Research Assistant
Kontny, Markus Research Assistant
Krahnen, Jan Pieter Professor
Krueger, Dirk External Researcher, CFS/SAFE Fellow
Küçüksen, Osman Research Assistant
Liu, Xu Research Assistant
Ludwig, Alexander Professor
Massenot, Baptiste Assistant Professor
Patella, Valeria Research Assistant
Pelizzon, Loriana Professor
Quintana, Jorge Alejandro Research Assistant
Reimers, Paul Research Assistant
Schlag, Christian Professor
Schmidt, Michael Research Assistant
Siekmann, Helmut Professor
Slavik, Ctirad External Researcher
Thiemann, Matthias Assistant Professor
Tsujiyama, Hitoshi Assistant Professor
Weichenrieder, Alfons Professor
Wiederholt, Mirko Professor
Wieland, Volker Professor
Wilde, Christian Assistant Professor