Department of Economics, Boston University
Recent Working Papers:
``Financial Heterogeneity and Monetary Union''(with Jae Sim, Raphael Schoenle and Egon Zakrajsek), April 2016 (slides).
``Inflation Dynamics During the Financial Crisis'' (with Raphael Schoenle, Jae Sim, and Egon Zakrajsek), April 2016 (Resubmitted to the American Economic Review) (slides).
``Uncertainty, Financial Frictions and Investment Dynamics'' (with Jae Sim and Egon
Zakrajsek), April 2014 (slides).
- ``Credit Risk in the Euro Area" (with Benoit Mojon), the Economic Journal, Forthcoming.
- ``The Response of Sovevereign Bond Yields to U.S. Monetary Policy''(with Vivian Yue and Egon Zakrajsek) in ``Monetary Policy through Asset Markets: Lessons from Unconventional Measures and Implications for an Integrated World", Conference Proceedings, 19th Annual conference of the Central Bank of Chile, Edited by Elias Albagli, Diego Saravia, and Michael Woodford, Central Bank of Chile, Forthcoming.
- ``The Macroeconomic Impact of Financial and Uncertainty Shocks''(with Dario Caldera, Cristina Fuentes-Albero and Egon Zakrajsek), European Economic Review, Forthcoming.
- ``Customer Markets and Financial Frictions: Implications for Inflation Dynamics''(with Egon Zakrajsek), Proceedings: Economic Policy Symposium, Jackson Hole, Federal Reserve Bank of Kansas City, Forthcoming (slides).
- ``Monetary Policy and Real Borrowing Costs at the Zero Lower Bound''(with David Lopez-Salid and Egon Zakrajsek), American Economics Journal:Macroeconomics, January 2015. (slides)
- ``The Impact of the Federal Reserve's Large-Scale Asset Purchase Programs on Default Risk''
Zakrajsek), Journal of Money, Credit and Banking, December 2013.
- ``Credit Spreads as Predictors of Real-Time Economic Activity: A Bayesian Model-Averaging Approach'' (with Jon Faust, Jonathan R. Wright and Egon Zakrajsek), Review of Economics and Statistics, November 2013.
- ``Misallocation and Financial Frictions: Some Direct Evidence from the Dispersion in Borrowing Costs'' (with Jae Sim and Egon Zakrajsek), Review of Economic Dynamcis, January 2013.
- ``Credit Supply Shocks and Economic Activity in a Financial Accelerator Model'' (with Egon Zakrajsek), in Rethinking the Financial Crisis. Edited by Alan Blinder, Andrew Lo and Robert Solow, Russell Sage Foundation, 2012.
- Improving Our Ability to Monitor Bank Lending (with Willam F. Basset, Gretchen Weinbach, and Egon Zakrajsek) in Systemic Risk and Macro Modeling, Edited by Marcus Brunnermeier and Arvind Krishnamurthy, University of Chicago Press, 2012.
- Bank Lending and Credit Supply Shocks (with Egon Zakrajsek, in Approaches to the Evolving World Economy. The Proceedings of the 16th World Congress of the International Economic Association Vol. III: The Global Macro Economy and Finance. Edited by Franklin Allen, Masahiko Aoki, Nobuhiro Kyotaki, Richard Gordon and Joseph Stiglizt, 2012.
- ``Credit Spreads and Business Cycle Fluctuations'' (with Egon Zakrajsek), American Economic Review, June 2012. (Data)
- Monetary Policy and Credit Supply Shocks (with Egon Zakrajsek) IMF Economic Review, June 2011.
- ``Credit Market Shocks and Economic Fluctuations:
Evidence from Corporate Bond and Stock Markets'' (with Vladimir Yankov and Egon Zakrajsek), Journal
of Monetary Economics, May 2009.
- ``External Constraints on Monetary Policy and
the Financial Accelerator'' (with Mark Gertler and Fabio Natalucci),
Journal of Money, Credit, and Banking, 2007.
- ``Expectations, Asset Prices and Monetary
Policy: The Role of Learning'' (with Masashi Saito), Asset Prices and
Monetary Policy, edited by John Campbell, University of Chicago,
- "Do Stock
Price Bubbles Influence Corporate Investment?" (with Charles
Himmelberg and Gur Huberman), Journal
of Monetary Economics, May 2005.
Capacity and Uncertainty: A Putty-Clay Approach" (with John
Williams), Review of Economic
Dynamics Vol 8, January 2005.
- "Trade Liberalization and Labor Market Evolution" (with Olga
Fuentes), Series on Central Banking, Analysis and Economic Policies,
Vol VIII: Labor Markets and Institutions", Edited by Luis Antonio
Ahumada and J. Rodrigo Fuentes, Central Bank of Chile, 2005.
Markets and Financial Leverage in a Two-Country World Economy",
Series on Central Banking, Analysis and Economic Policies, Vol VII:
Banking Market Structure and Monetary Policy", Edited by Luis Antonio
Ahumada and J. Rodrigo Fuentes, Central Bank of Chile, 2004.
- "Monetary Policy and Asset Prices" (with John Leahy), Journal
of Monetary Economics, January 2002.
- "Putty-Clay and Investment: A
Business Cycle Analysis" (with John Williams), Journal of
Political Economy, Oct. 2000.
- "The Financial Accelerator in a Quantitative Business Cycle
Framework" (with Ben Bernanke and Mark Gertler), in John Taylor and
Michael Woodford (eds.), the Handbook and Macroeconomics,
Amsterdam: North Holland, 1999.
- "Investment, Fundamentals and Finance" (with Charles Himmelberg),
in Ben Bernanke and Julio Rotermberg (eds.), The NBER
Macroeconomics Annual, 1998.
- "The Financial Accelerator and Flight to Quality" (with Ben Bernanke and Mark Gertler), Review of Economics and Statistics,
- "The Role of Cash Flow in Reduced-Form Investment Equations"
(with Charles Himmelberg), Journal of Monetary Economics, Vol.
36, December 1995.
- "The Importance of Credit for Macroeconomic Activity:
Identification Through Heterogeneity" (with Egon Zakrajsek), in Is
Bank Lending Important for Transmission of Monetary Policy?,
Federal Reserve Bank of Boston Conference Series No 39, June 1995.
- "Monetary Policy, Business Cycles, and the
Behavior of Small Manufacturing Firms" (with Mark Gertler), Quarterly
journal of Economics, Vol. CIX, May 1994.
- "The Role of Credit Market Imperfections in the Monetary
Transmission Mechanism: Argument and Evidence" (with Mark Gertler), Scandinavian
Journal of Economics, Vol. 95, 1993, 43-64. Reprinted in Financial
Aspects in the Transition from Stabilization to Growth, Editors:
Zvi Eckstein, Zvi Hercovitz, and Leo Leiderman, Cambridge University
- "The Cyclical Behavior of Short Term Business Lending:
Implication for Financial Propagation Mechanisms" (with Mark Gertler), European
Economic Review: Papers and Proceedings, April 1993.
A comment on ``Banking and Interest
Rates in Monetary Policy Analysis: A Quantitative Exploration''
McCallum and Marvin Goodfriend, Carnegie Rochester Series on
Additional working papers:
``Investment and the Cost of Capital: New
Evidence from the Corporate Bond Market''
Zakrajsek), May 2007.
``Investment during the Korean Financial
Crisis: A Structural Econometric Approach''
(with Jae W. Sim), May
``Irreversibility and Investment Dynamics for Chilean Manufacturing Plants: A
Maximum Likelihood Approach''
(with Olga Fuentes and Marc Rysman), July
``Skill-Biased Technology Adoption: Evidence
for the Chilean Manufacturing Sector"
(with Olga Fuentes), December,
"Transition Dynamics in Vintage Capital
Models: Explaining the Post-war Experience of German and Japan"
Williams), July, 2004.
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