The interaction between debt accumulation and asset prices magnifies credit booms and
busts. Borrowers do not internalize these feedback effects and therefore suffer from …

We study the design of macroprudential policies based on quantitative collateral-constraint
models. We show that the desirability of macroprudential policies critically depends on the …

We examine optimal credit market policies in two models with durables/capital as collateral.
Pecuniary externalities rationalize ex-ante debt taxes as macroprudential regulation …

Essays on Macroeconomics and Financial Markets by Paolo Varraso A dissertation submitted in
partial fulfillment of the requireme Page 1 Essays on Macroeconomics and Financial Markets by …

This lengthy chapter brings home a critical question regarding an adequate tax model for
financial institutions (FIs) and shadow banking entities. Given that leverage is a constitutive …

A case study approach is used to assess the multi-pronged policy response of seven small
financially open economies with flexible exchange rate regimes to external shocks following …

In this chapter I will be exploring the application of the Pigovian theory to an industry that is
known for its many particularities. The financial industry has become the poster child for …