Research Papers by Stephanie Schmitt-Grohe, Department of Economics, Columbia University

Working Papers:

A Model of the Twin Ds: Optimal Default and Devaluation
(with S. Na, Martin Uribe, and V. Yue), July 2014. [Slides]

Downward Nominal Wage Rigidity, Currency Pegs, and Involuntary Unemployment
(with Martin Uribe), August 2013. [Slides]

The Making of a Great Contraction With A Liquidity Trap and A Jobless Recovery
(with Martin Uribe), Revised November 2013. [Slides]

Implementing Iskrev's Identifiabilty Test
(with Martin Uribe), May 2012. [Matlab Code]

Prudential Policy for Peggers
(with Martin Uribe), December 2011, revised July 2012. [Slides]

Pegs, Downward Wage Rigidity, and Unemployment: The Role of Financial Structure
(with Martin Uribe), November 2011. [Slides]

Pegs and Pain
(with Martin Uribe), July 2010, Revised August 2012. [Slides]

Why the Monopolist Does Not Deviate from the Symmetric Equilibrium in a Model with Good-Specific Subsistence Points
(with Martin Uribe), August 2007.

Comparing Two Variants of Calvo-Type Wage Stickiness
(with Martin Uribe), October 2006.

Optimal Operational Monetary Policy in the Christiano-Eichenbaum-Evans Model of the U.S. Business Cycle
(with Martin Uribe), Revised August 2004.

Anticipated Ramsey Reforms and the Uniform Taxation Principle: The Role of International Financial Markets
(with Martín Uribe), June 2002.

Dollarization and Seignorage: How Much Is At Stake?
(with Martín Uribe), July 1999.

Published Papers:

Liquidity Traps: An Interest-Rate-Based Exit Strategy
(with Martin Uribe), The Manchester School, 82, S1, September 2014, 1-14.

Downward Nominal Wage Rigidity and the Case for Temporary Inflation in the Eurozone
(with Martin Uribe), Journal of Economic Perspectives, 27, Summer 2013, 193-212.

What's News in Business Cycles
(with Martín Uribe), Econometrica, 80, November 2012, 2733-2764.
[Slides] [Supplementary Material and Matlab Code]

On Quality Bias and Inflation Targets
(with Martín Uribe), Journal of Monetary Economics, 59, May 2012, 393-400.

Foreign Demand for Domestic Currency and the Optimal Rate of Inflation
(with Martin Uribe), Journal of Money, Credit, and Banking 44, September 2012, 1307-1324.

Managing Currency Pegs
(with Martin Uribe), American Economic Review: Papers and Proceedings 102, May 2012, 192-197.

A Model-Based Evaluation of the Debate on the Size of the Tax Multiplier
(with Ryan Chahrour and Martín Uribe), American Economic Journal: Economic Policy 4, May 2012, 28-45.

Consumption, Government Spending, and the Real Exchange Rate
(with M. Ravn and M. Uribe), Journal of Monetary Economics 59, April 2012, 215-234.

An OLS Approach to Computing Ramsey Equilibria in Medium-Scale Macroeconmic Models
(with Martín Uribe), Economics Letters, 115, April 2012, 128-129.

Business Cycles With A Common Trend in Neutral and Investment-Specific Productivity
(with Martín Uribe), Review of Economic Dynamics, 14, January 2011, 122-135.
[Online Appendix]

Introduction to the Special Issue on the Sources of Business Cycles,
(with Martin Uribe), Review of Economic Dynamics 14, January 2011, 1-2.

The Optimal Rate of Inflation
(with Martin Uribe) in Handbook of Monetary Economics, edited by Benjamin M. Friedman and Michael Woodford,
Volume 3B, Elsevier, San Diego CA, 2011, 653-722.

Evaluating the Sample Likelihood of Linearized DSGE Models Without the Use of the Kalman Filter
(with Martin Uribe), Economics Letters 109, December 2010, 142-143. [Matlab Code]

Deep habits and the dynamic effects of monetary policy shocks
(with M. Ravn, M. Uribe, L. Uuskula), Journal of the Japanese and International Economies 24, June 2010, 236-258.

Incomplete Cost Pass-Through Under Deep Habits
(with M. Ravn and M. Uribe), Review of Economic Dynamics 13, April 2010, 317-332.

Discussion of `Letting Different Views about Business Cycles Compete,' by Paul Beaudry and Bernd Lucke,
NBER Macroeconomics Annual 2009, Volume 24, Daron Acemoglu, Kenneth Rogoff and Michael Woodford, editors,
April 2010, page 475 - 489.

Liquidity Traps with Global Taylor Rules
(with Martín Uribe), International Journal of Economic Theory 5, March 2009, 85-106.

Policy Implications of the New Keynesian Phillips Curve,
(with Martin Uribe), Economic Quarterly, Federal Reserve Bank of Richmond 94, Fall 2008, 435-465.

Habit Persistence
(with Martin Uribe), New Palgrave Dictionary of Economics, Palgrave Macmillan, May 2008.

The Macroeconomics of Subsistence Points
(with Morten Ravn and Martin Uribe), Macroeconomic Dynamics 12, April 2008, 136-147. [Matlab Codes]

Optimal, Simple, and Implementable Monetary and Fiscal Rules
(with Martín Uribe), Journal of Monetary Economics 54, September 2007, 1702-1725.[Matlab Codes]

Pricing To Habits and the Law of One Price
(with M. Ravn and M. Uribe), American Economic Review, Papers and Proceedings 97, May 2007, 232-238.

Optimal Inflation Stabilization in a Medium-Scale Macroeconomic Model
(with Martin Uribe), in Monetary Policy Under Inflation Targeting, edited by Klaus Schmidt-Hebbel and Rick Mishkin,
Central Bank of Chile, Santiago, Chile, 2007, 125-186. [Matlab Codes]

Deep Habits
(with M. Ravn and M. Uribe),
Review of Economic Studies 73, January 2006, 195-218. [Companion notes and matlab code ]

Optimal Fiscal and Monetary Policy in a Medium-Scale Macroeconomic Model
(with Martin Uribe), in Gertler, Mark and Kenneth Rogoff, eds., NBER Macroeconomics Annual 2005, MIT Press: Cambridge MA, 2006, 383-425. [Matlab Codes]

Discussion of `Limits to Inflation Targeting,' by Christopher A. Sims, in Ben S. Bernanke and Michael Woodford, Editors,
The Inflation-Targeting Debate, The University of Chicago Press, 2004, 299-308.

Discussion of `Inflation Targeting and Optimal Monetary Policy,' by Michael Woodford,
The Federal Reserve Bank of St. Louis Review 86, July/August 2004, 43-49.

Optimal Fiscal and Monetary Policy under Imperfect Competition
(with Martín Uribe),
Journal of Macroeconomics, 26 (June 2004), 183-209. [Matlab Codes]

Optimal Fiscal and Monetary Policy under Sticky Prices
(with Martín Uribe).
Journal of Economic Theory 114 (February 2004), 198-230. [Matlab Codes]

Solving Dynamic General Equilibrium Models Using a Second-Order Approximation to the Policy Function
(with Martín Uribe),
Journal of Economic Dynamics and Control 28 (January 2004),755-775. [Matlab Codes]

Backward-Looking Interest-Rate Rules, Interest Rate Smoothing, and Macroeconomic Instability
(with Jess Benhabib and Martín Uribe),
Journal of Money, Credit, and Banking 35 (December 2003), 1379-1412.

Closing Small Open Economy Models
(with Martín Uribe),
Journal of International Economics 61 (October 2003), 163-185.[Matlab Codes]

Avoiding Liquidity Traps
(with Jess Benhabib and Martín Uribe),
Journal of Political Economy 110 (June 2002), 535-563.

Chaotic Interest Rate Rules
(with Jess Benhabib and Martín Uribe),
American Economic Review 92 (May 2002), 72-78.

Stabilization Policy and the Costs of Dollarization
(with Martín Uribe),
Journal of Money, Credit, and Banking 33 (May 2001), 482-509.(This document is also available in Spanish under the title PoliticasEstabilizacion y los Costos de Dolarizar.)

Monetary Policy and Multiple Equilibria
(with Jess Benhabib and Martín Uribe)
American Economic Review 91 (March 2001), 167-186.(Unpublished Appendix)

The Perils of Taylor Rules
(with Jess Benhabib and Martín Uribe)
Journal of Economic Theory 96 (January/February 2001), 40-69.

Endogenous Business Cycles and the Dynamics of Output, Hours, and Consumption,
American Economic Review 90 (December 2000), 1136-59.

Price Level Determinacy and Monetary Policy under a Balanced-Budget Requirement
(with Martín Uribe)
Journal of Monetary Economics 45 (February 2000), 211-246.

Y2K
(with Martín Uribe)
Review of Economic Dynamics 4 (October 1999), 850-856.[For a discrete time version of the model click here.]

The International Transmission of Economic Fluctuations: Effects of U.S. Business Cycles on the Canadian Economy
Journal of International Economics44 (April 1998), 257-287.

Balanced-Budget Rules, Distortionary Taxes, and Aggregate Instability
(with Martín Uribe)
Journal of Political Economy 105 (October 1997), 976-1000.

Comparing Four Models of Aggregate Fluctuations Due to Self-fulfilling Expectations,
Journal of Economic Theory 72 (January 1997), 96-147.

Other Material:

Wissenschaft, Junge Ökonomen zieht es ins Ausland,
Handelsblatt, By Olaf Storbeck Montag 23. April 2007, Seite 1.

Junge Top-Ökonomen wandern aus,
Handelsblatt, By Olaf Storbeck, Montag 23. April 2007, Seite 9.

Stephanie Schmitt-Grohé, Premio Bernácer 2004 al mejor economista joven europeo,
Expansión, jueves 7 de abril de 2005.

Research Summary:Policy Evaluation in Macroeconomics,
NBER Reporter, Spring 2005.

The Research Agenda: Stephanie-Schmitt-Grohé and Martín Uribe on Policy Evaluation in Macroeconomics,
Economic Dynamics Newsletter 6, November 2004.

New Hires Expand Economics' International Profile Husband-wife team bring complementary strengths to department,
Duke Dialogue, January 2004.