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3/6/2025
9 : 14
What can 40 years of data on vacancy advertising costs tell us about labour market equilibrium?
Michal Stelmach, James Kensett and Philip Schnattinger Economists frequently use the vacancies to unemployment (V/U) ratio to measure labour market tightness. Analysis of the labour market during the
2/27/2025
9 : 4
GIV us some credit: estimating the macroeconomic effects of credit supply shocks
Sam Christie and Aniruddha Rajan Sudden contractions in credit supply can trigger and amplify recessions – a reality made painfully clear by the 2008 global financial crisis (GFC). However, quantifying
2/27/2025
9 : 4
Global financial centre and its regulators: what’s the strategy when everyone wants to be the top dog?
Carlos Cañón Salazar, John Thanassoulis and Misa Tanaka Several global financial centres, including London, Hong Kong and Singapore, are overseen by financial regulators with an objective on
2/27/2025
6 : 54
What has macropru ever done for you? Macropru announcements can lead to a substantial reduction in systemic risk
Kristina Bluwstein and Alba Patozi Measuring financial stability is very difficult. Measuring the effectiveness of policies affecting financial stability even more so. Not only is the objective of
2/14/2025
2 : 34
Fossicking in the dark or twenty-twenty foresight?
Rishi Khiroya and Lydia Henning If you asked people what skill they would most love to have, you might receive answers like 'to fly', 'to be invisible' or even 'predicting the
2/14/2025
2 : 14
Why do government bond yields drift when news is on its way?
Danny Walker, Dong Lou, Gabor Pinter and Semih Üslü Government bond yields tend to drift higher in the days before monetary policy or data news in the UK. Over the past two decades this tendency –
1/14/2025
9 : 4
Shaping inflation expectations: the effects of monetary policy
Natalie Burr In economic theory, expectations of future inflation are an important determinant of inflation, making them a key variable of interest for monetary policy makers. But is there empirical
1/7/2025
9 : 14
Launch of the 2025–28 Bank of England Agenda for Research
Misa Tanaka Today the Bank published the 2025–28 'Bank of England Agenda for Research' setting out the key areas for new research over the coming years and a set of priority topics for 2025.
1/6/2025
9 : 4
Our top five posts of 2024
As a new year begins and the blog starts fresh in 2025, we wanted to take a moment to reflect on the highlights of the blog in 2024. Read on blog or Reader Bank Underground Read on blog or Reader Our
12/19/2024
14 : 4
The Bank Underground Christmas Quiz 2024
Before Bank Underground goes off on its Christmas holidays, it's time for the Annual Bank Underground Christmas Quiz! We hope you enjoy testing your knowledge on our festive themed questions on
12/10/2024
6 : 34
Zero-day options and financial market vulnerability
Bowen Xiao Zero-day options have exploded in popularity in recent years, accounting for approximately half of S&P 500's total options volume, a ten-fold increase from just 5% in 2016. Their
12/10/2024
5 : 54
Stable gilts and stable prices: assessing the Bank of England’s response to the LDI crisis
Nicolò Bandera and Jacob Stevens How should the central bank conduct asset purchases to restore market functioning without causing higher inflation? The Bank of England was faced with this question
12/3/2024
9 : 4
Adaptation is to mitigation what Robin is to Batman
Jenny Clark and Theresa Löber The UK's climate continues to change, getting wetter and warmer, with extremes becoming ever more pronounced. Even if we limit global warming to 1.5°C above pre-
11/29/2024
12 : 4
Weathering the storm: the economic impact of floods and the role of adaptation
Rebecca Mari and Matteo Ficarra. Floods are the most costly natural disaster in Europe. In the UK, they account for around GBP1.4 billion in annual losses. Yet, evidence on the macroeconomic
11/28/2024
12 : 4
Staying afloat: the impact of flooding on UK firms
Benjamin Crampton, Rupert-Hu Gilman and Rebecca Mari. With climate change set to increase the frequency and intensity of flooding in the UK, it is important to deepen our understanding of the potential
11/27/2024
12 : 4
The heterogenous effects of carbon pricing: macro and micro evidence
Ambrogio Cesa-Bianchi, Alex Haberis, Federico Di Pace and Brendan Berthold To achieve the Paris Agreement objectives, governments around the world are introducing a range of climate change mitigation
11/26/2024
12 : 4
Climate and monetary policy series
Boromeus Wanengkirtyo, Francesca Diluiso, Rebecca Mari, Jenny Chan, Ambrogio Cesa-Bianchi and Alex Haberis. Climate change is becoming increasingly important for monetary policy as the world
11/26/2024
12 : 4
Some implications of climate policy for monetary policy
Francesca Diluiso, Boromeus Wanengkirtyo and Jenny Chan. This post examines key aspects of climate mitigation policies that could matter for monetary policy, using insights from structural climate
11/19/2024
10 : 24
Using causal inference for explainability enhancement in the financial sector
Rhea Mirchandani and Steve Blaxland Supervisors are responsible for ensuring the safety and soundness of firms and avoiding their disorderly failure which has systemic consequences, while managing
11/15/2024
6 : 44
Nonbank lenders as global shock absorbers
David Elliott, Ralf Meisenzahl and José-Luis Peydró Capital flows and credit growth are strongly correlated across countries. Macroeconomic evidence suggests that this 'global financial cycle'