This paper develops a sequential deep learning algorithm for solving dynamic stochastic general equilibrium (DSGE) models. The algorithm trains a deep neural network to approximate the model’s policy functions across four progressive phases: steady-state anchoring, exploration around the steady state, simulation on the ergodic set, and Monte Carlo integration of stochastic expectations.
This paper studies the employment effects of carbon pricing under the European Union’s Emissions Trading System (EU-ETS). I refer to standard methods from the literature to define and measure the environmental properties of jobs along two dimensions: how “green” a job is, and how polluting it is. I then leverage a series of shocks to EU-ETS prices to estimate their dynamic impacts on employment. The panel local projections estimates reveal that an exogenous 1% increase in EU-ETS prices leads to a roughly 0.2% decline in employment after one and a half years.
Recent stress in parts of the US private credit market − including concerns about exposures in the software sector and redemption pressure in semi-liquid vehicles − has led to renewed focus on possible financial stability risks stemming from private credit and the potential relevance of such risks for the euro area. This special feature looks at the exposure of the euro area financial system to private credit. Using available commercial, public and proprietary data, it finds that euro area financial institutions appear to have limited direct exposure to private credit.
Many online shoppers who order from independent small retailers have no idea who ships their goods. Odds are growing that it's Amazon. AP Photo/Damian DovarganesYou did the right thing this morning.
Many online shoppers who order from independent small retailers have no idea who ships their goods. Odds are growing that it's Amazon. AP Photo/Damian DovarganesYou did the right thing this morning.
Indranil Aditya/NurPhoto via Getty ImagesThe recently signed free trade agreement between New Zealand and India has so far been discussed and debated in very broad terms: the size of the Indian market, opportunities for exporters, implications for immigration.
The U.S. has a strong and established nonprofit sector that's pushing back against threats to its independence.
Ryan Byun, Bennett Fees, Margaret M. Jacobson, and Todd B. WalkerCentral bank communications, particularly FOMC statements and press conferences, play a crucial role in shaping financial market expectations. Using large language models to quantify central bank content, this paper demonstrates how sentiment aligns with traditional market-based monetary policy measures. We show that press conferences correlate with future policy to a greater extent than other communications.
Football kit. beast01/ShutterstockIn elite football, competitive advantage is pursued relentlessly. Big clubs invest heavily in performance data and tactical analysis in the pursuit of marginal gains.
Stefan Pildes was charged in April 2026, in New York, with wire fraud for allegedly taking money destined for charities. AP Photo/Larry NeumeisterNonprofit fraud is in the news a lot these days.
