TARGET2: How Costly is Buying Time?

How banks are adapting to TARGET2-Securities in Europe

How Costly is Welfare Stigma? Separating Psychological Costs from Time Costs

This paper empirically decomposes the costs associated with participation in welfare by developing a structural model of labor supply and multiple program participation to better understand the barriers of participation in social insurance programs. The well-documented fact that many individuals who are eligible for welfare choose not to participate implies that there is a sizable cost associat...

How Costly is Welfare Stigma? Separating Psychological Costs from Time Costs in Food Assistance Programs

This paper empirically decomposes the costs of welfare participation using a model of labor supply and participation in two food assistance programs: food stamp program and WIC. The context allows for the most reliable estimates to date of the relative importance of psychological costs, or stigma, as compared to the effort required to become eligible and maintain eligibility (time costs). The r...

How Costly is Sustained Low Inflation for the US Economy?

We study the welfare cost of inflation in a general equilibrium life cycle model with growth, costly financial intermediation, and taxes on nominal quantities. We find a stationary equilibrium of the model matches a wide variety of facts about the postwar U.S. economy. We then calculate that the inflation policy of the monetary authority has welfare consequences for agents that are an order of ...

Calcification in marine molluscs: how costly is it?

Although crucial to our understanding of skeletal evolution in marine invertebrates, the cost of calcification has remained elusive for a simple reason: CaCO3 is an inorganic material. Its cost thus derives solely from the metabolic expenses of accumulating, transporting, and precipitating CaCO3 and cannot normally be separated from other metabolic costs. Traditionally, calcification cost has b...