Reserve-demand estimation is central to monetary policy implementation but tricky in practice. This discusses a proposal that could improve it.
Surekha Carpenter and Bethany Greene discuss the connections between the health of workers and the health of labor markets in rural communities. Carpenter is a senior research analyst and Greene is a regional economist, both at the Federal Reserve Bank of Richmond.
The authors analyze the effects of the 2025 U.S. import tariffs on import prices and local labor markets and find that the tariffs did not generate large labor market changes in either direction.
We propose a new reserve-demand estimation strategy — a middle ground between atheoretical reduced-form econometric approaches and fully structural quantitative-theoretic approaches.
Emerging economies exhibit pro-cyclical fiscal policy, counter-cyclical sovereign spreads, and recurrent debt crises, whereas advanced economies sustain high debt with low spreads and lower volatility in outcomes.
Manufacturing activity changed little in April while non-manufacturing activity remained relatively upbeat.
Since 2021, the Collaboration of Research Economists (CORE) model has combined frontier research and an innovative delivery method to advance collaboration within the economics profession. Economists from a range of disciplines join with Richmond Fed economists eight times per year for seminars, collaboration, and formal and informal networking — all with an eye toward advancing economic research.
Research Associates help the Richmond Fed's economists with their research and policy memos for briefing the Bank's president on the state of the economy. For recent graduates thinking about applying to a Ph.D. program, this position is an ideal way to learn more about academic economic research.
