We present a model in which a policymaker observes trade in a financial asset before deciding whether to intervene in the economy, for example by offering a bailout or monetary stimulus. Because an intervention erodes the value of private information, informed investors are reluctant to take short positions and selloffs are, therefore, less likely and less informative. The policymaker faces a t...

Disinflationary episodes are a valuable source of information for economic agents trying to learn about the economy. In this paper we are particularly interested in how policymakers can themselves learn by disinflating. The approach differs from the existing literature, which typically focuses on the learning of private agents during a disinflation. We build a model where both the policymaker a...

This paper studies some effects of real-time information on the implementation of monetary policy. We consider an economy in which several sources of uncertainty, such as measurement errors and imperfectly observable states, do not allow the policymaker to identify the true state of the economy. Optimal policy thus requires the policymaker to jointly solve a filtering and an optimisation proble...

In a discretionary regime the monetary authority can print more money and create more inflation than people expect. But, although these inflation surprises can have some benefits, they cannot arise systematically in equilibrium when people understand the policymaker’s incentives and form their expeziations accordingly. Because the policymaker has the power to create inflation shocks ex pest, th...

Conventional economics falls short in addressing complex social issues. By examining the cost-benefit analysis framework, this paper analyzes the theoretical underpinnings of mainstream economic development and its problematic assumptions of diminishing returns and optimal market equilibrium. After shedding light on the pitfalls of cost-benefit analysis, and subsequently economic development, t...

The aim of this paper is to uncover the aggregate monetary policy preferences in the Euro Area. This is pursued under the assumption of optimising policy behaviour subject to a simple model of the macroeconomic structure, following a procedure recently proposed in the literature, in which GMM estimation stems from the optimal control solution to the optimisation problem. Instead of waiting for ...

The potential for academic research institutions to facilitate knowledge exchange and influence evidence-informed decision-making has been gaining ground. Schools of public health (SPHs) may play a key knowledge brokering role-serving as agencies of and for development. Understanding academic-policymaker networks can facilitate the enhancement of links between policymakers and academic faculty ...

Emerging electronic commerce services that use public-key cryptography on a mass-market scale require sophisticated mechanisms for managing trust. For example, any service that receives a signed request for action is forced to answer the central question \Is the key used to sign this request authorized to take this action?" In some services, this question reduces to \Does this key belong to thi...