David Beckworth
@davidbeckworth.bsky.social
Senior Research Fellow at the Mercatus Center || Podcast Host at http://macromusings.libsyn.com || Former U.S. Treasury Economist || Micah 6:8, John 3:16
Have we over learned the lesson of "It's a Wonderful Life" and Diamond-Dybvig? Stephan Luck says yes. His research with Emil Verner and Sergio Correia finds healthy banks typically survive runs, while weak fundamentals explain most bank failures. youtu.be/Dgr8clxpb6Q?... (1/2)
Stephan Luck on What History can Teach Us about Financial Stability | Macro Musings
YouTube video by Macro Musings with David Beckworth
youtu.be
Excellent discussion on Fed balance sheet from the angle of Friedman Rule from @davidbeckworth.bsky.social
EconReporter@econreporter.bsky.social · 2mo agoThis possibility creates a deeper challenge for the Friedman-rule defense of ample reserves. If regulatory costs rise with reserve holdings, then a larger balance sheet increases both the quantity of reserves subject to the reserve tax and the effective tax rate itself. (1/5)
Delighted to have David Zaring join the show to discuss skinny Fed master accounts, the future of OCC trust charters, why financial regulation looks very different from the rest of the administrative state, and more! (1/2) www.mercatus.org/macro-musing...
mercatus.org
Such an enormous treat getting to present our paper on #Moneyness & #Stablecoins @ #MacroMusings w/ @andreatosato.bsky.social & Yesha Yadav; a huge thanks to our host, the ever-thoughtful @davidbeckworth.bsky.social
Cohosted the podcast with @petercontibrown.bsky.social this week! We were live at the 2026 @Wharton FinReg conference and discussed how 2008 reshaped FinReg, bank supervision debates, AI risk to fin stability, the growing overlap between Finreg & monetary policy, and more! youtu.be/Goq7M0aQ9dI?...
Peter Conti-Brown and David Beckworth on All Things Financial Regulation | Macro Musings
YouTube video by Macro Musings with David Beckworth
youtu.be
Always great to connect with the Macro Musings podcast community. substack.com/@davidbeckwo...
From Conversations to Community: Macro Musings in Action
Reflections from Wharton, connections with past guests, and new insights on Fed operating losses
substack.com
Thanks, @gilesyb.bsky.social. Here is my newsletter this week on this very topic: open.substack.com/pub/macroeco...
The Fed Already Has What It Needs to Navigate Supply Shocks
The FOMC’s roadmap for these turbulent times: its implicit NGDP target
open.substack.com
Giles Wilkes@gilesyb.bsky.social · 5mo agothis is a nice piece by David and coauthors on the last time we had this dilemma www.sciencedirect.com/science/arti...
Calls for Discount Window reform are being driven, in part, by a paradox in the post-GFC liquidity framework: banks are encouraged to hoard liquidity in normal times but hesitate to use it during stress. Details in my latest newsletter: open.substack.com/pub/macroeco...
More Buffer, Less Stigma: The Case for Discount Window Reform
Why integrating the Discount Window into liquidity regulation could reduce reserve demand, shrink the Fed’s footprint, and strengthen financial stability.
open.substack.com
Delighted to have Jesus Fernandez-Villaverde back on the pod this week. We cover demographic decline, the robustness of dollar dominance, AI, and whether his vast expertise defies comparative advantage! www.youtube.com/watch?v=eRvI...
Jesús Fernández-Villaverde on the Quandary of Global Demographic Decline | Macro Musings
YouTube video by Macro Musings with David Beckworth
youtube.com
Three Kinds of Fed-Treasury Accords A @petercontibrown.bsky.social guest post on @davidbeckworth.bsky.social 's Substack!
Three Kinds of Fed-Treasury Accords
There is talk of another Fed-Treasury Accord. But there are three different kinds of accords. Which one do we need?
macroeconomicpolicynexus.substack.com
In commemoration of Raphael Bostic’s retirement from the @atlantafed.org, we are re-releasing his appearance on Macro Musings from last year on our new YouTube Channel. www.youtube.com/watch?v=rXnI...
Raphael Bostic on Life as a Regional Fed President and the Responsibilities of a Dual Mandate | MM
YouTube video by Macro Musings with David Beckworth
youtube.com
Latest newsletter outlining Raghu Rajan's liquidity dependence and QE ratchet arguments, its relationship to Kevin Warsh's balance sheet vision, and my response to questions: macroeconomicpolicynexus.substack.com/p/macro-musi...
Raghuram Rajan: Breaking the QE Ratchet Effect
Raghuram Rajan on liquidity dependence, the Fed’s expanding balance sheet, and how to restore normalization as the default.
macroeconomicpolicynexus.substack.com
This week's MacroMusing is Rajan arguing for smaller Fed balance sheet!! And this is a Video podcast!! great work @davidbeckworth.bsky.social !
Raghuram Rajan on the Impact of the Ratcheting Effect of The Fed’s QE Program | Macro Musings
YouTube video by Macro Musings with David Beckworth
youtube.com
shrinking the balance sheet is a silly idea and I doubt Warsh will do it. Pure virtue signaling. BUT if he does do it, he should read David's proposal in this blog. At least David has thought seriously about this issue.. required reading today macroeconomicpolicynexus.substack.com/p/deja-vu-at...
Déjà Vu at the Federal Reserve
How liquidity dependence keeps ratcheting up the Fed’s balance sheet and what can be done about it.
macroeconomicpolicynexus.substack.com
I recently caught up with this interview of Claudio Borio from @davidbeckworth.bsky.social on the future of CB operating systems t.co/2IMELpougN (associated BIS paper: www.bis.org/publ/work110...). A key point: the often-stated argument for keeping an “ample” reserve framework may be overstated.
https://www.mercatus.org/macro-musings/claudio-borio-future-central-bank-operating-systems
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@davidbeckworth.bsky.social asked a very important question here. How did the centra banks all land on a similar journey of pursuing demand-driven system? www.mercatus.org/macro-musing...
The Fed’s losses have stopped. But the story isn’t over. One Reserve Bank stayed profitable (Atlanta) and the reasons why tell us a lot about the Fed’s balance sheet, QT, and the risks ahead. New Substack: macroeconomicpolicynexus.substack.com/p/the-feds-l...
The Fed’s Losses, Atlanta’s Lesson, and the Case for Balance-Sheet Reform
Why one Fed bank remained in the black while the rest fell into losses—and what that means for the future operating framework.
macroeconomicpolicynexus.substack.com
For those old enough to have debated Abenomics in the 2010s, below is a figure of what it did for nominal demand. I discussed Abenomics with @birdyword.bsky.social on the podcast this week and also in my newsletter: macroeconomicpolicynexus.substack.com/p/a-macroeco...
Miran's speech today cited a 2022 Macro Musing podcast with Randal Quarles, @davidbeckworth.bsky.social ~
Meet Sim Powell and his LLM Fed colleagues that argue, cajole, and dissent like the real FOMC. Amazing discussion with @tarasinc.bsky.social on her work with Sophia Kazinnik where they replicate and experiment with the FOMC via LLMs of each Fed official! Full show: youtu.be/rpLAka4MKIc (1/2)
Tara Sinclair on a Synthetic AI FOMC
YouTube video by David Beckworth
youtu.be
A brilliantly clear-eyed view on how dollar stablecoins might impact the Fed’s operations: @davidbeckworth.bsky.social Barbarians at the Fed's Gate: Stablecoins are knocking and the Fed is letting them inside macroeconomicpolicynexus.substack.com/p/barbarians...
Barbarians at the Fed's Gate
Stablecoins are knocking and the Fed is letting them inside.
macroeconomicpolicynexus.substack.com
Two recent Fed speeches suggest cracks are emerging in the FOMC's support of its ample reserve system! My latest: tinyurl.com/36d45t3h
From Floors to Ceilings: The Fed’s Quiet Turning Point?
Why Michelle Bowman and Lorie Logan may be setting the stage for a leaner balance sheet and a demand-driven ceiling system
tinyurl.com
