Managing a Liquidity Trap: Monetary and Fiscal Policy

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How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

Escaping the Great Recession (2017, neutral): “Werning (2012) works in a deterministic environment and shows that the effectiveness of policies at the zero lower bound crucially depends on what agents expect after the constraint is not binding anymore.”
The Long-Run Effects of Monetary Policy (2020, positive): “(11) Since we are simulating responses to one-time shocks, we interpret this policy rule assumption as equivalent to that of temporary interest rate peg made in the zero lower bound (ZLB) literature (Eggertsson and Woodford, 2003; Werning, 2011).”
A Model of Secular Stagnation (2014, background): “Our model sheds light on the long persistence of the Japanese crisis, the Great Depression, and the slow recovery out of the Great Recession.”
The Effect of Unconventional Fiscal Policy on Consumption Expenditure (2016, neutral): “7For instance, see Krugman (1998), Eggertsson and Woodford (2003), Eggertsson (2006), Werning (2012), Eggertsson (2011), Christiano, Eichenbaum, and Rebelo (2011), Woodford (2011), and Farhi and Werning (2015).”
Fiscal Multipliers: Liquidity Traps and Currency Unions (2012, background): “As is well known, the resulting equilibrium without government spending (gt = 0 for all t) features a negative consumption gap and deflation: c̃t, π̃t 0 for t T [e.g. see Werning, 2012].”