Hosted by David Beckworth of the Mercatus Center, Macro Musings pulls back the curtain on the important macroeconomic issues of the past, present, and future.
http://macromarketmusings.blogspot.com/
Alp Simsek on a Risk-Centric View of Demand, Recession, and Speculation
Alp Simsek is an associate professor of economics at MIT, and joins Macro Musings to talk about the link between financial markets, uncertainty and the COVID-19 crisis. Specifically, David and Alp discuss the dual absorption problem within financial markets, how supply shocks and demand shocks have inescapably become interwoven phenomenon, and why we should look to using macroprudential policy in the future.
The transcript for the episode can be found here.
Alp’s Twitter: @alpsimsek_econ
Alp’s MIT profile: https://economics.mit.edu/faculty/asimsek
Related Links:
Bonus segment with Alp: https://youtu.be/eoGxYcWmH9E
*A Risk-centric Model of Demand Recessions and Speculation* by Ricardo Caballero and Alp Simsek
https://www.nber.org/papers/w23614
*A Model of Asset Price Spirals and Aggregate Demand Amplification of a ‘COVID-19’ Shock* by Ricardo Caballero and Alp Simsek
https://www.nber.org/papers/w27044
*Prudential Monetary Policy* by Ricardo Caballero and Alp Simsek
https://www.nber.org/papers/w25977
David’s blog: macromarketmusings.blogspot.com
David’s Twitter: @DavidBeckworth