A Long-Run, Short-Run and Politico-Economic Analysis of the Welfare Costs of Inflation

This paper assesses the long-run and short-run (i.e. along the transition path) welfare implications of permanent changes in inflation in an environment with essential money and perfectly competitive markets. The model delivers a monetary distribution that matches moments of the distribution seen in the US data. Although there is potential for wealth redistribution to deliver welfare gains from inflation, the (total) costs of 10 percent inflation relative to zero is over 7 percent of consumption. While these results suggest a dominating real-balance effect of inflation, a politico-economic analysis concludes that the prevailing (majority rule) inflation rate is above the Friedman Rule.Inflation; Welfare; Transitions; Voting

Money Holdings, Inflation, and Welfare in a Competitive Market

This paper examines an environment where money is essential and agents exchange in perfectly-competitive, Walrasian markets. Agents consume and produce a homogeneous good, but hold money to purchase consumption in the event of a relatively low productivity shock. A Walrasian market delivers a non-degenerate distribution of money holdings across agents and avoids some of the computational difficulties associated with the market and pricing assumptions of bilateral matching and bargaining common to search-theoretic environments. The model is calibrated to long-run US velocity, and the welfare costs of inflation are assessed for variable buyer-seller ratios and persistent states of buying and selling.Monetary Policy, Inflation, Welfare, Walrasian Markets

The Bank Lending Channel: a FAVAR Analysis

We examine the role of commercial banks in monetary transmission in a factor-augmented vector autoregression (FAVAR). A FAVAR exploits a large number of macroeconomic indicators to identify monetary policy shocks, and we add commonly used lending aggregates and lending data at the bank level. While our results suggest that the bank lending channel (BLC) is stronger than previously thought, this feature is not robust. In addition, our results indicate a diffuse response to monetary innovations when individual banks are grouped according to asset sizes and loan components. This suggests that other bank characteristics could improve the identification of the BLC.Bank Lending Channel, FAVAR, Monetary Policy

A wide-field spectroscopic survey of the cluster of galaxies Cl0024+1654: I. The catalogue

We present the catalogue of a wide-field CFHT/WHT spectroscopic survey of the lensing cluster Cl0024+1654 at z=0.395. This catalogue contains 618 new spectra, of which 581 have identified redshifts. Adding redshifts available from the literature, the final catalogue contains data for 687 objects with redshifts identified for 650 of them. 295 galaxies have redshifts in the range 0.37<z<0.41, i. e. are cluster members or lie in the immediate neighbourhood of the cluster. The area covered by the survey is 21x25 arcmin2 in size, corresponding to 4x4.8 h^-2 Mpc2 at the cluster redshift. The survey is 45% complete down to V=22 over the whole field covered; within 3 arcmin of the cluster centre the completeness exceeds 80% at the same magnitude. A detailed completeness analysis is presented. The catalogue gives astrometric position, redshift, V magnitude and V-I colour, as well as the equivalent widths for a number of lines. Apart from the cluster Cl0024+1654 itself, three other structures are identified in redshift space: a group of galaxies at z=0.38, just in front of Cl0024+1654 and probably interacting with it, a close pair of groups of galaxies at z~0.495 and an overdensity of galaxies at z~0.18 with no obvious centre. The spectroscopic catalogue will be used to trace the three-dimensional structure of the cluster Cl0024+1654 as well as study the physical properties of the galaxies in the cluster and in its environment.Comment: 14 pages - figures included - A&A (re)submitted versio

A First Comparison of the SBF Survey Distances with the Galaxy Density Field: Implications for H_0 and Omega

We compare the peculiar velocities measured in the SBF Survey of Galaxy Distances with the predictions from the density fields of the IRAS 1.2 Jy flux-limited redshift survey and the Optical Redshift Survey (ORS) to derive simultaneous constraints on the Hubble constant $H_0$ and the density parameter $\beta = \Omega^{0.6}/b$, where $b$ is the linear bias. We find $\beta_I=0.42^{+0.10}_{-0.06}$ and $\beta_O=0.26\pm0.08$ for the IRAS and ORS comparisons, respectively, and $H_0=74\pm4$ \kmsMpc (with an additional 9% uncertainty due to the Cepheids themselves). The match between predicted and observed peculiar velocities is good for these values of $H_0$ and $\beta$, and although there is covariance between the two parameters, our results clearly point toward low-density cosmologies. Thus, the unresolved discrepancy between the ``velocity-velocity'' and ``density-density'' measurements of $\beta$ continues.Comment: 4 pages with 3 embedded ps figures; uses emulateapj.sty (included). Accepted for publication in ApJ Letter

Extremely red objects in the fields of high redshift radio galaxies

We are engaged in a program of infrared imaging photometry of high redshift radio galaxies. The observations are being done using NICMOS2 and NICMOS3 arrays on the DuPont 100-inch telescope at Las Campanas Observatory. In addition, Persson and Matthews are measuring the spectral energy distributions of normal cluster galaxies in the redshift range 0 to 1. These measurements are being done with a 58 x 62 InSb array on the Palomar 5-m telescope. During the course of these observations we have imaged roughly 20 square arcminutes of sky to limiting magnitudes greater than 20 in the J, H, and K passbands (3 sigma in 3 square arcseconds). We have detected several relatively bright, extremely red, extended objects during the course of this work. Because the radio galaxy program requires Thuan-Gunn gri photometry, we are able to construct rough photometric energy distributions for many of the objects. A sample of the galaxy magnitudes within 4 arcseconds diameter is given. All the detections are real; either the objects show up at several wavelengths, or in subsets of the data. The reddest object in the table, 9ab'B' was found in a field of galaxies in a rich cluster at z = 0.4; 9ab'A' lies 8 arcseconds from it

Observations of Stripped Edge-on Virgo Cluster Galaxies

We present observations of highly inclined, HI deficient, Virgo cluster spiral galaxies. Our high-resolution VLA HI observations of edge-on galaxies allow us to distinguish extraplanar gas from disk gas. All of our galaxies have truncated H-alpha disks, with little or no disk gas beyond a truncation radius. While all the gas disks are truncated, the observations show evidence for a continuum of stripping states: symmetric, undisturbed truncated gas disks indicate galaxies that were stripped long ago, while more asymmetric disks suggest ongoing or more recent stripping. We compare these timescale estimates with results obtained from two-dimensional stellar spectroscopy of the outer disks of galaxies in our sample. One of the galaxies in our sample, NGC 4522 is a clear example of active ram-pressure stripping, with 40% of its detected HI being extraplanar. As expected, the outer disk stellar populations of this galaxy show clear signs of recent (and, in fact, ongoing) stripping. Somewhat less expected, however, is the fact that the spectrum of the outer disk of this galaxy, with very strong Balmer absorption and no observable emission, would be classified as ``k+a'' if observed at higher redshift. Our observations of NGC 4522 and other galaxies at a range of cluster radii allow us to better understand the role that clusters play in the structure and evolution of disk galaxies.Comment: 4 pages, 2 figures, to appear in the proceedings of the Island Universes conference held in Terschelling, Netherlands, July 2005, ed. R. de Jong, version with high resolution figures can be downloaded from ftp://ftp.astro.yale.edu/pub/hugh/papers/iu_crowl_h.ps.g