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Working Paper
In 2025, statutory tariff rates on U.S. imports rose to levels not seen in over one
hundred years. What are the implications for prices? On the one hand, shipping
lags, exemptions, and enforcement gaps have kept the actual implemented rates
at only half of...
2017
2013
We explore the role of inflation credibility in self-fulfilling debt crises. In particular, we propose a continuous time model of nominal debt with the potential for self-fulfilling debt crises as in Calvo (1988) and Cole and Kehoe (2000). We characterize...
2011
2006
We study a small open economy characterized by two empirically important frictions – incomplete financial markets and an inability of the government to commit to policy. We characterize the best sustainable fiscal policy and show that it can amplify and...