Covered Interest Parity
Here's how covered interest parity works. Think of two ways to invest money, risklessly, for a year. Option 1: buy a one-year CD (conceptually. If you are a bank, or large corporation you do this by a repurchase agreement). Option 2: Buy euros, buy a one-year European CD, and enter a forward contract by which you get dollars back for your euros one year from now, at a predetermined rate. Both are
Minimum wage and mechanization
A while ago I opined that higher minimum wages might lead companies like McDonalds to substitute to machines. A former student sends me: here's a photo I took in the McDonald's on the Champs-Élysées, Paris, of the screens where customers can place their orders and pay. After a short wait, you pick up your burger and fries at the counter. I did not ask just why he is eating at McDonalds in France!
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Fintech in chains
Selgin on IOER and TNB
Conference on the cross section of returns.
Capital Illogic
Universal Basic Income
The other Smith on Growth
Feldstein on inflation
More Cash and Zero Bound
Level, Slope and Curve for Stocks
The Neo-Fisherian Question
Bair and Reserves for All
Taylor rules
Gene Fama's Nobel
Macro-prudential policy
Small monetary policy question
Two cents on the trillion dollar coin, and a debt-limit schedule