Monetary Policy, Redistribution and Endogenous Asset Market Incompleteness

Recent economic crises, growing wealth-inequality and housing-affordability concerns have led to much re-purposing of monetary and fiscal policies. This project focuses on monetary policy. New quantitative theories with new efficient computational methods is developed, to understand and to quantify how monetary policy affects not just the dynamics of aggregate outcomes (e.g., inflation or employment), but also the distribution of individual-level wealth (e.g., money, capital and housing). Redistribution of wealth from an international perspective where monetary policy must also consider international policy spillover effects will also be considered.