The constant-elasticity-of-substitution (CES) aggregator and its demand system are
ubiquitous in business cycles theory, macroeconomic growth and development …

In this article, we review the desirability and feasibility of a universal basic income (UBI)
scheme from the theoretical point of view. We first discuss the possible theoretical …

Little is known about optimal policy in the face of global supply chain disruptions. Should
governments promote resilience by subsidizing backup sources of input supply in multiple …

How strong are strategic complementarities in price setting across firms? In this article, we
provide a direct empirical estimate of firms' price responses to changes in competitor prices …

We propose a supply-side channel for the transmission of monetary policy. We show that
when high-markup firms have lower pass-throughs than low-markup firms, then positive …

Endogenous demand composition across sectors due to income elasticity differences, or
Engel's Law for brevity, affects (i) sectoral compositions in employment and in value …

Supply chain disruptions, which have become commonplace, are often associated with
globalization and trade. Little is known about optimal policy in the face of insecure supply …

We study the incidence of nonlinear labor income taxes in an economy with a continuum of
endogenous wages. We derive in closed form the effects of reforming nonlinearly an …

How does market concentration affect the potency of monetary policy? To address this
question we embed a dynamic oligopolistic game into a general-equilibrium …

We characterize the relationship between the distributions of two variables linked by a
structural model. We then show that, in models of heterogeneous firms in monopolistic …