Details about Varadarajan Chari

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Postal address:	Economics Department University of Minnesota Minneapolis Mn 55455
Workplace:	Department of Economics, University of Minnesota, (more information at EDIRC)

Access statistics for papers by Varadarajan Chari.

Last updated 2012-11-23. Update your information in the RePEc Author Service.

Short-id: pch40

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Working Papers

2012

1. What assets should banks be allowed to hold?
   Economic Policy Paper, Federal Reserve Bank of Minneapolis View citations (1)

2010

2. Adverse Selection, Reputation and Sudden Collapses in Secondary Loan Markets
   NBER Working Papers, National Bureau of Economic Research, Inc View citations (4)
3. Bailouts, Time Inconsistency, and Optimal Regulation
   2010 Meeting Papers, Society for Economic Dynamics
4. Damage control? analyzing policies to repair credit markets
   Economic Policy Paper, Federal Reserve Bank of Minneapolis View citations (2)
5. Thoughts on the Federal Reserve System's exit strategy
   Economic Policy Paper, Federal Reserve Bank of Minneapolis
6. Time Inconsistency and Free-Riding in a Monetary Union
   Levine's Working Paper Archive, David K. Levine View citations (2)
   Also in Staff Report, Federal Reserve Bank of Minneapolis (2008) View citations (9)
   NBER Working Papers, National Bureau of Economic Research, Inc (2002) View citations (3)
   See also Journal Article in Journal of Money, Credit and Banking (2008)

2009

7. Moral Hazard, Reputation, and Fragility in Credit Markets
   2009 Meeting Papers, Society for Economic Dynamics
8. On the Fragility of Reputation in Financial Markets
   2009 Meeting Papers, Society for Economic Dynamics
9. Prizes and Patents: Using Market Signals to Provide Incentives for Innovations
   Levine's Working Paper Archive, David K. Levine View citations (2)
   Also in Working Papers, Federal Reserve Bank of Minneapolis (2009) View citations (2)
   See also Journal Article in Journal of Economic Theory (2012)
10. Sophisticated Monetary Policies
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (3)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2009) View citations (3)
    Working Papers, Federal Reserve Bank of Minneapolis (2008)
    See also Journal Article in The Quarterly Journal of Economics (2010)

2008

11. Are Structural VARs with Long-Run Restrictions Useful in Developing Business Cycle Theory?
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (27)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2007) View citations (21)
    See also Journal Article in Journal of Monetary Economics (2008)
12. Facts and myths about the financial crisis of 2008
    Working Papers, Federal Reserve Bank of Minneapolis View citations (14)
13. New Keynesian Models: Not Yet Useful for Policy Analysis
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (22)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2008) View citations (11)
    Working Papers, Federal Reserve Bank of Minneapolis (2008) View citations (12)
    See also Journal Article in American Economic Journal: Macroeconomics (2009)
14. On the Job Training, Limited Commitment and Firing Costs
    2008 Meeting Papers, Society for Economic Dynamics

2007

15. Comparing alternative representations and alternative methodologies in business cycle accounting
    Staff Report, Federal Reserve Bank of Minneapolis View citations (19)
    Also in Working Papers, Federal Reserve Bank of Minneapolis (2006)
16. On the Optimal Choice of a Monetary Policy Instrument
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (5)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2007) View citations (3)
17. Reply to Solow
    Working Papers, Federal Reserve Bank of Minneapolis
18. The Heterogeneous State of Modern Macroeconomics: A Reply to Solow
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (1)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2007) View citations (1)

2006

19. Appendices: Business cycle accounting
    Staff Report, Federal Reserve Bank of Minneapolis View citations (3)
20. Business cycle accounting
    Staff Report, Federal Reserve Bank of Minneapolis View citations (17)
    Also in Levine's Bibliography, UCLA Department of Economics (2004) View citations (33)
    Levine's Bibliography, UCLA Department of Economics (2003) View citations (5)
    Working Papers, Federal Reserve Bank of Minneapolis (2002) View citations (40)
    NBER Working Papers, National Bureau of Economic Research, Inc (2004) View citations (75)
    See also Journal Article in Econometrica (2007)
21. Modern Macroeconomics in Practice: How Theory is Shaping Policy
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (18)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2006) View citations (16)
    See also Journal Article in Journal of Economic Perspectives (2006)

2005

22. A critique of structural VARs using real business cycle theory
    Working Papers, Federal Reserve Bank of Minneapolis View citations (59)
    Also in Levine's Bibliography, UCLA Department of Economics (2004) View citations (30)
23. Are Structural VARs Useful Guides for Developing Business Cycle Theories?
    2005 Meeting Papers, Society for Economic Dynamics View citations (23)
24. Business Start-ups, The Lock-in Effect, and Capital Gains Taxation
    Levine's Bibliography, UCLA Department of Economics View citations (3)
    Also in Levine's Working Paper Archive, David K. Levine (2003) View citations (3)
25. Copyrights, Price Discrimination and Hidden Trading: Lessons from a Ricardian Theory of Innovation
    2005 Meeting Papers, Society for Economic Dynamics
26. Sudden Stops and Output Drops
    Levine's Bibliography, UCLA Department of Economics View citations (39)
    Also in NBER Working Papers, National Bureau of Economic Research, Inc (2005) View citations (40)
    Staff Report, Federal Reserve Bank of Minneapolis (2005) View citations (44)
    See also Journal Article in American Economic Review (2005)

2004

27. On the Desirability of Fiscal Constraints in a Monetary Union
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (16)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2003) View citations (6)
28. Strategic Delegation in Monetary Unions
    Working Papers, Barcelona Graduate School of Economics
    Also in Economics Working Papers, Department of Economics and Business, Universitat Pompeu Fabra (2004)
    See also Journal Article in Manchester School (2004)

2003

29. Expectation traps and monetary policy
    Staff Report, Federal Reserve Bank of Minneapolis View citations (53)
    Also in NBER Working Papers, National Bureau of Economic Research, Inc (2002) View citations (42)
    Macroeconomics, EconWPA (2002) View citations (28)
    Working Paper Series, Federal Reserve Bank of Chicago (2002) View citations (10)
    Working Papers, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University View citations (6)
    See also Journal Article in Review of Economic Studies (2003)
30. Financial Crises as Herds: Overturning the Critiques
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (13)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2003) View citations (7)
    See also Journal Article in Journal of Economic Theory (2004)
31. Hot Money
    Levine's Bibliography, UCLA Department of Economics View citations (12)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (2003) View citations (12)
    NBER Working Papers, National Bureau of Economic Research, Inc (1997) View citations (4)
    See also Journal Article in Journal of Political Economy (2003)

2002

32. Accounting for the Great Depression (technical appendix)
    Working Papers, Federal Reserve Bank of Minneapolis View citations (36)
33. Can sticky price models generate volatile and persistent real exchange rates?
    Staff Report, Federal Reserve Bank of Minneapolis View citations (366)
    Also in NBER Working Papers, National Bureau of Economic Research, Inc (2000) View citations (51)
    Staff Report, Federal Reserve Bank of Minneapolis (1998) View citations (105)
    See also Journal Article in Review of Economic Studies (2002)
34. On the robustness of herds
    Working Papers, Federal Reserve Bank of Minneapolis View citations (3)

2001

35. How Severe is the Time Inconsistency Problem in Monetary Policy?
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (20)
    See also Journal Article in Quarterly Review (2003)

2000

36. Financial crises as herds
    Working Papers, Federal Reserve Bank of Minneapolis View citations (17)

1999

37. Optimal Fiscal and Monetary Policy
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (211)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (1998) View citations (16)
    See also Chapter (1999)

1998

38. On the need for fiscal constraints in a monetary union
    Working Papers, Federal Reserve Bank of Minneapolis View citations (25)
    See also Journal Article in Journal of Monetary Economics (2007)
39. Sticky price models of the business cycle: can the contract multiplier solve the persistence problem?
    Staff Report, Federal Reserve Bank of Minneapolis View citations (56)
    Also in NBER Working Papers, National Bureau of Economic Research, Inc (1996) View citations (63)
    See also Journal Article in Econometrica (2000)
40. Sustainable Plans
    Levine's Working Paper Archive, David K. Levine View citations (36)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (1989) View citations (3)
    See also Journal Article in Journal of Political Economy (1990)

1997

41. Monetary Shocks and Real Exchange Rates in Sticky Price Models of International Business Cycles
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (58)
42. The economics of split-ticket voting in representative democracies
    Working Papers, Federal Reserve Bank of Minneapolis View citations (55)
    See also Journal Article in American Economic Review (1997)
43. The poverty of nations: a quantitative exploration
    Staff Report, Federal Reserve Bank of Minneapolis View citations (47)
    Also in NBER Working Papers, National Bureau of Economic Research, Inc (1996) View citations (60)

1996

44. Expectation Traps and Discretion
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (55)
    Also in Working Papers in Applied Economic Theory, Federal Reserve Bank of San Francisco (1996) View citations (7)
    Working Paper Series, Macroeconomic Issues, Federal Reserve Bank of Chicago (1996) View citations (1)
    See also Journal Article in Journal of Economic Theory (1998)
45. Matching Human Capital and Displacement
    RCER Working Papers, University of Rochester - Center for Economic Research (RCER)
46. Optimal fiscal policy in a business cycle model (technical appendix)
    Working Papers, Federal Reserve Bank of Minneapolis

1995

47. Inside Money, Outside Money and Short Term Interest Rates
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (50)
    Also in Working Paper Series, Macroeconomic Issues, Federal Reserve Bank of Chicago (1995) View citations (37)
    See also Journal Article in Journal of Money, Credit and Banking (1995)

1993

48. A contribution to the theory of pork barrel spending
    Staff Report, Federal Reserve Bank of Minneapolis View citations (10)
49. Optimal Fiscal Policy in a Business Cycle Model
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (8)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (1993) View citations (8)
    See also Journal Article in Journal of Political Economy (1994)
50. Optimality of the Friedman Rule in Economies with Distorting Taxes
    NBER Working Papers, National Bureau of Economic Research, Inc View citations (60)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (1993) View citations (10)
    See also Journal Article in Journal of Monetary Economics (1996)
51. Why are representative democracies fiscally irresponsible?
    Staff Report, Federal Reserve Bank of Minneapolis View citations (8)

1991

52. A reconsideration of the problem of social cost: free riders and monopolists
    Staff Report, Federal Reserve Bank of Minneapolis View citations (4)
    See also Journal Article in Economic Theory (2000)
53. Optimal fiscal and monetary policy: some recent results
    Staff Report, Federal Reserve Bank of Minneapolis View citations (131)
    See also Journal Article in Journal of Money, Credit and Banking (1991)
54. Optimal fiscal policy in a stochastic growth model (technical appendix)
    Working Papers, Federal Reserve Bank of Minneapolis View citations (2)

1990

55. SUSTAINABLE PLANS AND MUTUAL DEFAULT
    IMF Working Papers, International Monetary Fund View citations (63)
    Also in Staff Report, Federal Reserve Bank of Minneapolis (1989) View citations (1)
    See also Journal Article in Review of Economic Studies (1993)

1989

56. International coordination of fiscal policy in limiting economies
    Staff Report, Federal Reserve Bank of Minneapolis View citations (6)
    See also Journal Article in Journal of Political Economy (1990)
57. Labor contracts in a model of imperfect competition
    Staff Report, Federal Reserve Bank of Minneapolis View citations (1)
    See also Journal Article in American Economic Review (1989)
58. Sustainable plans and debt
    Staff Report, Federal Reserve Bank of Minneapolis View citations (6)
    See also Journal Article in Journal of Economic Theory (1993)

1988

59. Time consistency and policy
    Staff Report, Federal Reserve Bank of Minneapolis View citations (31)

1987

60. Seasonalities in security returns: the case of earnings announcements
    Staff Report, Federal Reserve Bank of Minneapolis View citations (5)

1984

61. Banking Panics
    Discussion Papers, Northwestern University, Center for Mathematical Studies in Economics and Management Science View citations (60)
62. Layoffs and Unemployment Compensation as Social Instruments
    Discussion Papers, Northwestern University, Center for Mathematical Studies in Economics and Management Science

1980

63. Equilibrium Contracts in a Monetary Economy
    Discussion Papers, Northwestern University, Center for Mathematical Studies in Economics and Management Science View citations (1)
64. Involuntary Unemployment and Implicit Contracts
    Discussion Papers, Northwestern University, Center for Mathematical Studies in Economics and Management Science View citations (3)
    See also Journal Article in The Quarterly Journal of Economics (1983)

1979

65. Linear Stochastic Models with Decentralized Information
    Discussion Papers, Northwestern University, Center for Mathematical Studies in Economics and Management Science

Journal Articles

2012

1. Prizes and patents: Using market signals to provide incentives for innovations
   Journal of Economic Theory, 2012, 147, (2), 781-801
   See also Working Paper (2009)

2010

2. Sophisticated Monetary Policies
   The Quarterly Journal of Economics, 2010, 125, (1), 47-89
   See also Working Paper (2009)

2009

3. New Keynesian Models: Not Yet Useful for Policy Analysis
   American Economic Journal: Macroeconomics, 2009, 1, (1), 242-66 View citations (48)
   See also Working Paper (2008)

2008

4. Are structural VARs with long-run restrictions useful in developing business cycle theory?
   Journal of Monetary Economics, 2008, 55, (8), 1337-1352 View citations (25)
   See also Working Paper (2008)
5. Hysteresis in unemployment - comments
   Conference Series ; [Proceedings], 2008
6. Time Inconsistency and Free-Riding in a Monetary Union
   Journal of Money, Credit and Banking, 2008, 40, (7), 1329-1356 View citations (8)
   See also Working Paper (2010)

2007

7. Business Cycle Accounting
   Econometrica, 2007, 75, (3), 781-836 View citations (116)
   See also Working Paper (2006)
8. Modern macroeconomics in practice: how theory is shaping monetary policy
   Annual Report, 2007, (May), 6-28
9. On the need for fiscal constraints in a monetary union
   Journal of Monetary Economics, 2007, 54, (8), 2399-2408 View citations (17)
   See also Working Paper (1998)

2006

10. Modern Macroeconomics in Practice: How Theory Is Shaping Policy
    Journal of Economic Perspectives, 2006, 20, (4), 3-28 View citations (16)
    See also Working Paper (2006)

2005

11. DISCUSSION OF HE, HUANG, AND WRIGHT'S "MONEY AND BANKING IN SEARCH EQUILIBRIUM"
    International Economic Review, 2005, 46, (2), 671-674
12. Sudden Stops and Output Drops
    American Economic Review, 2005, 95, (2), 381-387 View citations (39)
    See also Working Paper (2005)

2004

13. Comment on: "An empirical analysis of the economic impact of federal terrorism reinsurance"
    Journal of Monetary Economics, 2004, 51, (5), 899-902 View citations (2)
14. Discussion of Growth and Foreign Direct Investment: Does Policy Play a Role?
    American Journal of Agricultural Economics, 2004, 86, (3), 802-804
15. Financial crises as herds: overturning the critiques
    Journal of Economic Theory, 2004, 119, (1), 128-150 View citations (23)
    See also Working Paper (2003)
16. Strategic Delegation in Monetary Unions
    Manchester School, 2004, 72, (s1), 19-33 View citations (2)
    See also Working Paper (2004)

2003

17. Accounting for the Great Depression
    Quarterly Review, 2003, (Spr), 2-8 View citations (7)
    Also in American Economic Review, 2002, 92, (2), 22-27 (2002) View citations (41)
18. Expectation Traps and Monetary Policy
    Review of Economic Studies, 2003, 70, (4), 715-741 View citations (54)
    See also Working Paper (2003)
19. Hot Money
    Journal of Political Economy, 2003, 111, (6), 1262-1292 View citations (12)
    See also Working Paper (2003)
20. How severe is the time-inconsistency problem in monetary policy?
    Quarterly Review, 2003, (Sum), 17-33 View citations (8)
    See also Working Paper (2001)

2002

21. Can Sticky Price Models Generate Volatile and Persistent Real Exchange Rates?
    Review of Economic Studies, 2002, 69, (3), 533-63 View citations (311)
    See also Working Paper (2002)

2000

22. A reconsideration of the problem of social cost: Free riders and monopolists
    Economic Theory, 2000, 16, (1), 1-22 View citations (1)
    See also Working Paper (1991)
23. Limits of Markets and Limits of Governments: An Introduction to a Symposium on Political Economy
    Journal of Economic Theory, 2000, 94, (1), 1-6 View citations (5)
24. Sticky Price Models of the Business Cycle: Can the Contract Multiplier Solve the Persistence Problem?
    Econometrica, 2000, 68, (5), 1151-1180 View citations (312)
    See also Working Paper (1998)

1999

25. Asking the right questions about the IMF
    Annual Report, 1999, 3-26 View citations (9)
26. Comment on Private Money
    Journal of Money, Credit and Banking, 1999, 31, (3), 498-99
27. Nobel laureate Robert E. Lucas, Jr.; architect of modern macroeconomics
    Quarterly Review, 1999, (Spr), 2-12
    Also in Journal of Economic Perspectives, 1998, 12, (1), 171-186 (1998)
28. Taxing capital income: a bad idea
    Quarterly Review, 1999, (Sum), 3-17 View citations (48)
29. Unemployment today in Europe and Japan: Lessons from the U.S. Great Depression
    Fedgazette, 1999, (Jul), 13

1998

30. Expectation Traps and Discretion
    Journal of Economic Theory, 1998, 81, (2), 462-492 View citations (71)
    See also Working Paper (1996)

1997

31. Comment on "Inflation Forecasts and Monetary Policy."
    Journal of Money, Credit and Banking, 1997, 29, (4), 685-86 View citations (2)
32. The Economics of Split-Ticket Voting in Representative Democracies
    American Economic Review, 1997, 87, (5), 957-76 View citations (43)
    See also Working Paper (1997)

1996

33. Optimality of the Friedman rule in economies with distorting taxes
    Journal of Monetary Economics, 1996, 37, (2-3), 203-223 View citations (83)
    See also Working Paper (1993)

1995

34. Inside Money, Outside Money, and Short-Term Interest Rates
    Journal of Money, Credit and Banking, 1995, 27, (4), 1354-86 View citations (36)
    Also in Proceedings, 1994, 1354-1401 (1994) View citations (16)
    See also Working Paper (1995)
35. The growth effects of monetary policy
    Quarterly Review, 1995, (Fall), 18-32 View citations (34)

1994

36. Optimal Fiscal Policy in a Business Cycle Model
    Journal of Political Economy, 1994, 102, (4), 617-52 View citations (203)
    See also Working Paper (1993)

1993

37. Sustainable Plans and Debt
    Journal of Economic Theory, 1993, 61, (2), 230-261 View citations (24)
    See also Working Paper (1989)
38. Sustainable Plans and Mutual Default
    Review of Economic Studies, 1993, 60, (1), 175-95 View citations (37)
    See also Working Paper (1990)

1992

39. How the U.S. Treasury should auction its debt
    Quarterly Review, 1992, (Fall), 3-12 View citations (20)

1991

40. Optimal Fiscal and Monetary Policy: Some Recent Results
    Journal of Money, Credit and Banking, 1991, 23, (3), 519-39 View citations (131)
    Also in Proceedings, 1991, 519-546 (1991) View citations (131)
    See also Working Paper (1991)
41. Vintage Human Capital, Growth, and the Diffusion of New Technology
    Journal of Political Economy, 1991, 99, (6), 1142-65 View citations (104)

1990

42. International Coordination of Fiscal Policy in Limiting Economies
    Journal of Political Economy, 1990, 98, (3), 617-36 View citations (34)
    See also Working Paper (1989)
43. Playing by the rules: a proposal for federal budget reform
    Annual Report, 1990
44. Price Stability and Futures Trading in Commodities
    The Quarterly Journal of Economics, 1990, 105, (2), 527-34 View citations (3)
45. Sustainable Plans
    Journal of Political Economy, 1990, 98, (4), 783-802 View citations (182)
    See also Working Paper (1998)
46. The simple analytics of commodity futures markets: do they stabilize prices? Do they raise welfare?
    Quarterly Review, 1990, (Sum), 12-24

1989

47. Adverse Selection in a Model of Real Estate Lending
    Journal of Finance, 1989, 44, (2), 499-508 View citations (16)
48. Banking without deposit insurance or bank panics: lessons from a model of the U.S. national banking system
    Quarterly Review, 1989, (Sum), 3-19 View citations (14)
49. Labor Contracts in a Model of Imperfect Competition
    American Economic Review, 1989, 79, (2), 358-63 View citations (1)
    See also Working Paper (1989)

1988

50. Banking Panics, Information, and Rational Expectations Equilibrium
    Journal of Finance, 1988, 43, (3), 749-61 View citations (95)
51. Time consistency and optimal policy design
    Quarterly Review, 1988, (Fall), 17-31 View citations (11)

1985

52. Macroeconomic effects of fiscal policy A comment
    Carnegie-Rochester Conference Series on Public Policy, 1985, 23, (1), 139-141

1983

53. Involuntary Unemployment and Implicit Contracts
    The Quarterly Journal of Economics, 1983, 98, (3), 107-22 View citations (18)
    See also Working Paper (1980)

Chapters

2013

1. Comment on "Pledgability and Liquidity: A New Monetarist Model of Financial and Macroeconomic Activity"
   A chapter in NBER Macroeconomics Annual 2013, Volume 28, 2013

2012

2. A Macroeconomist’s Wish List of Financial Data
   A chapter in Risk Topography: Systemic Risk and Macro Modeling, 2012

1999

3. Optimal fiscal and monetary policy
   Chapter 26 in Handbook of Macroeconomics, 1999, vol. 1, Part C, pp 1671-1745 View citations (191)
   See also Working Paper (1999)