monetary system

A better law is welcome. But if legal text can’t tie a government’s hands, the fix has to be structural, not textual. On August 26, Argentina’s Chamber of Deputies approved a sweeping rewrite of the BCRA’s charter, 144 votes to 102, with 9 abstentions. The bill now moves to the Senate. It would bar the […]

  Earlier this month, U.S. gross federal debt exceeded $40 trillion. Some $10 trillion has been added in the past four and a half years. This debt level creates an increasingly difficult situation, as it is no longer so easy for the U.S. Treasury to place its securities at auction while preserving adequate market liquidity. […]

  For decades, monetary policy has been treated as the central lever of economic management. Interest rates and quantitative easing were expected to steer inflation and define the money supply. That model is now becoming obsolete. The structure of the economy has shifted and political pressures have intensified. Yet the core mechanisms meant to support […]

Heterogeneous effects across bank types written by Karl-Friedrich Israel, Moritz Pfeifer, Tim Sepp , and Benjamin Treitz.  May 25, 2026 Monetary policy changes the stability of German banks differently based on their ownership and business goals. Existing literature shows that monetary policies stabilize markets but can also encourage institutions to take higher risks. Using monthly balance sheet data […]

Public debt levels are rising throughout the developed world, with economies bordering on stagflation as politicians prefer short-term giveaways to long-term fixes. Since the turn of the century, the amount of public debt relative to gross domestic product (GDP) in developed economies has surged to highwater marks not seen since the turmoil of World War […]