Optimal lockdown in altruistic economies

Financial bubbles and capital accumulation in altruistic economies

We consider an overlapping generations model à la Diamond (1965) with two additional ingredients: altruism and an asset (or land) bringing non-stationary positive dividends (or fruits). We study the global dynamics of capital stocks and asset values as well as the interplay between them. Asset price bubbles are also investigated.

Optimal Fiscal Policy in Debt Constrained Economies∗

We study optimal fiscal policy in a small open economy (SOE) with sovereign default risk. The SOE’s government uses linear taxation to fund exogenous expenditures and uses public debt to inter-temporally allocate tax distortions. We characterize a class of environments in which the tax on labor goes to zero in the long run, while the tax on capital income may be non-zero, reversing the standard...

Optimal Sterilization Policies in Interdependent Economies

Optimal Taxation in Life-Cycle Economies

We use a very standard life-cycle growth model, in which individuals have a labor-leisure choice in each period of their lives, to prove that an optimizing government will almost always find it optimal to tax or subsidize interest income. The intuition for our result is straightforward. In a life-cycle model the individual’s optimal consumption-work plan is almost never constant and an optimizi...

Lockdown: Dynamic Control-Flow Integrity

Applications written in low-level languages without type or memory safety are especially prone to memory corruption. Attackers gain code execution capabilities through such applications despite all currently deployed defenses by exploiting memory corruption vulnerabilities. Control-Flow Integrity (CFI) is a promising defense mechanism that restricts open control-flow transfers to a static set o...