We revisit the transmission mechanism from monetary policy to household consumption in a
Heterogeneous Agent New Keynesian (HANK) model. The model yields empirically realistic …

THANK is a tractable heterogeneous-agent New-Keynesian model that captures analytically
core micro-heterogeneity channels of quantitative-HANK: cyclical inequality and risk; self …

ABSTRACT We estimate a Heterogeneous-Agent New Keynesian model with sticky
household expectations that matches existing microeconomic evidence on marginal …

The goal of this chapter is to study how, and by how much, household income, wealth, and
preference heterogeneity amplify and propagate a macroeconomic shock. We focus on the …

Recently developed HANK models, which combine Heterogeneous Agents and New
Keynesian frictions, have had a considerable impact on macroeconomics. However, due to …

Abstract The New Keynesian (NK) cross is a graphical and analytical apparatus for
heterogeneous-agent (HANK) models expressing key aggregate demand objects—MPC …

We explore the transmission mechanism of income inequality to output. In the short run,
higher inequality reduces output because marginal propensities to consume are negatively …

Abstract We build a New Keynesian business-cycle model with rich household
heterogeneity. A central feature is that matching frictions render labor-market risk …

Using an analytically tractable heterogeneous agent New Keynesian model, we show that
whether incomplete markets resolve New Keynesian “paradoxes” depends on the cyclicality …

How does household heterogeneity affect the transmission of an energy price shock? What
are the implications for monetary policy? We develop a small, open-economy TANK model …