Board of Governors of the Federal Reserve System
Flow of Funds, Mail Stop 97
Washington, DC 20551
Institutional Affiliation: Federal Reserve Board
NBER Working Papers and Publications
|September 2014||The Integrated Macroeconomic Accounts of the United States|
with Elizabeth Ball Holmquist, Lisa Lynn, Susan Hume McIntosh, David Wasshausen
in Measuring Economic Sustainability and Progress, Dale W. Jorgenson, J. Steven Landefeld, and Paul Schreyer, editors
The integrated macroeconomic accounts (IMAs), produced jointly by the Bureau of Economic Analysis (BEA) and the Federal Reserve Board (FRB), present a sequence of accounts that relate income, saving, investment in real and financial assets, and asset revaluations to changes in net worth. This paper first provides some background information on the IMAs and on their construction. Next, it discusses the usefulness of the IMAs, focusing for instance on the evolution of household net worth and its components, a set of series that has appeared frequently in discussions of the causes and effects of the recent financial crisis. It also discusses some of the challenges associated with integrating nonfinancial and financial data sources, that is, the current and capital accounts statistics from ...
|August 2013||Credit Crunches and Credit Allocation in a Model of Entrepreneurship|
with Marco Bassetto, Mariacristina De Nardi: w19296
We study the effects of credit shocks in a model with heterogeneous entrepreneurs, financing constraints, and a realistic firm size distribution. As entrepreneurial firms can grow only slowly and rely heavily on retained earnings to expand the size of their business in this set-up, we show that, by reducing entrepreneurial firm size and earnings, negative shocks have a very persistent effect on real activity. In determining the speed of recovery from an adverse economic shock, the most important factor is the extent to which the shock erodes entrepreneurial wealth.
Published: Marco Bassetto & Marco Cagetti & Mariacristina De Nardi, . "Credit Crunches and Credit Allocation in a Model of Entrepreneurship," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics. citation courtesy of
|June 2007||Estate Taxation, Entrepreneurship, and Wealth|
with Mariacristina De Nardi: w13160
We study the effects of abolishing estate taxation in a quantitative and realistic framework that includes the key features that policy makers are worried about: business investment, borrowing constraints, estate transmission, and wealth inequality. We use our model to estimate effective estate taxation. We consider various tax instruments to reestablish fiscal balance when abolishing estate taxation. We find that abolishing estate taxation would not generate large increases in inequality, and would, in some cases, generate increases in aggregate output and capital accumulation. If, however, the resulting revenue shortfall were financed through increased income or consumption taxation, the immensely rich, and the old among those in particular, would experience a welfare gain, at the cost o...
Published: Marco Cagetti & Mariacristina De Nardi, 2009. "Estate Taxation, Entrepreneurship, and Wealth," American Economic Review, American Economic Association, vol. 99(1), pages 85-111, March. citation courtesy of
|October 2006||Wealth Inequality: Data and Models|
with Mariacristina De Nardi: w12550
In the United States wealth is highly concentrated and very unequally distributed: the richest 1% hold one third of the total wealth in the economy. Understanding the determinants of wealth inequality is a challenge for many economic models. We summarize some key facts about the wealth distribution and what economic models have been able to explain so far.
Published: Cagetti, Marco & De Nardi, Mariacristina, 2008. "Wealth Inequality: Data And Models," Macroeconomic Dynamics, Cambridge University Press, vol. 12(S2), pages 285-313, September. citation courtesy of