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Bodhi: An Interdisciplinary Journal, 5, 2011, Page 132-143 DOI: http://dx.doi.org/10.3126/bodhi.v5i1.8048

This paper presents and estimates a sticky-price model with heterogenous households and financial frictions. Frictions in state-contingent asset markets lead to imperfect risksharing among households with idiosyncratic labor incomes. I study the impacts of the introduced financial frictions on optimal monetary policy by documenting implications for the central bank's objective function, the equation that characterizes inflation-output gap trade-offers, targeting rules, interest rate rules, and welfare of the economy. Employing the estimated model, the paper argues that the central bank should place a stronger emphasis on stabilizing inflation than it has, and failing to do so can generate nontrivial welfare costs.

Budgeting is an important part of the accountability process because it provides judgement of the credibility, lawfulness, and the performance of financial statements and of the manner in which public officials have carried out their responsibilities. By examining the procedures, operations, and management of policies or programs, budgeting can help agencies or organizations improve efficiency and economy. By conducting an evaluation focusing on whether a program was carried out as planned and met its objects or whether a program produced some change, or both, budgeting can also help decision makers improve the effectiveness of public sector operations. Budgeting reforms imply change for the better; it alludes to improvement, thus according to a value judgement to the process of succession. In effect, budgetary reform would indicate that the progression of change from control to management to planning was such an improvement. According to Allen Schick, budget reform always has three purposes; planning, management, and control(Schick, 1966;244).

A national survey of newspaper editors examined how editors view the importance of different criteria in selecting foreign news to run. Results show that editors considered these factors important in making choices: threat to the United States and world peace, anticipated reader interest, timeliness, and U.S. involvement. Editors also regarded loss of lives and property as important but less so than other factors. Most editors appear to focus more on factors having significant impact or consequences, especially when American security and national interest are involved. Canonical correlational analysis indicates that editors' perceptions of foreign news factors are determined by individual differences and organizational constraints in the newsroom.

DOI: 10.3126/bodhi.v3i1.2807Bodhi Vol.3(1) 2009 p.1-9

Reviewing the communication industry, the cybernetics pioneer Norbert Wiener (1950) once offered a very disturbing observation: "The people who have elected communication as a career so often have nothing more to communicate." It's more than half a century from the days of his comment on us, but are we in any better shape now? DOI: 10.3126/bodhi.v2i1.2861 Bodhi Vol.2(1) 2008 p.1-13

We show that the effectiveness of redistribution policy in stimulating the economy and improving welfare is directly tied to how much inflation it generates, which in turn hinges on monetary-fiscal adjustments that ultimately finance the transfers. We compare two distinct types of monetary-fiscal adjustments: In the monetary regime, the government eventually raises taxes to finance transfers while in the fiscal regime, inflation rises, effectively imposing inflation taxes on public debt holders. We show analytically in a simple model how the fiscal regime generates larger and more persistent inflation than the monetary regime. In a quantitative application, we use a two-sector, two-agent New Keynesian model, situate the model economy in a Covid-19 recession, and quantify the effects of the transfer components of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. We find that the transfer multipliers are significantly larger under the fiscal regime—which results in a milder contraction—than under the monetary regime, primarily because inflationary pressures of this regime counteract the deflationary forces during the recession. Moreover, redistribution produces a Pareto improvement under the fiscal regime.