31st Annual Meeting of the Canadian Macroeconomics Study Group/ Groupe Canadien d'Études en Macroéconomie November 10 and 11, 2017 Richcraft Building Carleton University Friday, November 10, 2017 Continental Breakfast 8:00 - 8:30 (Foyer, 2nd Floor) Session 1: Business Cycles 8:30 – 10:00 Chair: Dana Galizia, Carleton University Thorsten Drautzburg, Federal Reserve Bank of Philadelphia (with Jesus Fernandez-Villaverde, University of Pennsylvania; and Pablo Guerron-Quintana, Boston College) Political Distribution Risk and Aggregate Fluctuations Discussant: Paul Klein, Stockholm University Hafedh Bouakez, HEC Montreal (with Laurent Kemoe, University of Montreal) News Shocks, Business Cycles, and the Inflation Puzzle Discussant: Nadav Ben Zeev, Ben-Gurion University of the Negev Coffee Break 10:00 - 10:30 (Coffee in the Foyer) Session 2: Complementarities 10:30 – 12:00 Chair: Christopher Gunn, Carleton University Mathieu Taschereau-Dumouchel, University of Pennsylvania Cascades and Fluctuations in an Economy with an Endogenous Production Network Discussant: Nicolas Petrosky-Nadeau, Federal Reserve Bank of San Francisco Ed Nosal, Federal Reserve Bank of Chicago (with Randall Wright, University of Wisconsin-Maddison; and Yuet-Yee Wong, Binghamton University) Intermediation in Markets for Goods and Markets for Assets Discussant: Gajendran Raveendranathan, University of Minnesota Lunch 12:00 - 13:00 (Foyer) 1 Session 3: 13:00 – 14:00 Chair: Hashmat Khan, Carleton University Keynote Speaker: Paul Beaudry, University of British Columbia What Should Business Cycle Theory be Aiming to Explain? Short Break 14:00 - 14:15 (Foyer) Session 4: Labour 14:15 – 15:45 Chair: Lilia Karnizova, University of Ottawa Andre Kurmann, Drexel University (with Erika McEntarfer, U.S. Census Bureau) Downward Wage Rigidity in the United States: New Evidence from Administrative Data Discussant: Theodore Papageorgiou, McGill University Yu Chen, University of Calgary The Unemployment Rate of High School Graduates Discussant: Baris Kaymak, University of Montreal Break 15:45 - 16:15 (Foyer) Session 5: Bank of Canada Session on International Macroeconomics 16:15 – 17:45 Chair: Cesaire Meh, Bank of Canada Martin Eichenbaum, Northwestern University (with Benjamin Johannsen, Board of Governors; Sergio Rebelo. Northwestern University) Monetary Policy and the Predictability of Nominal Exchange Rates Discussant: Geoffrey Dunbar, Bank of Canada Jie Cai, Shanghai University of Finance and Economics (with Ana Maria Santacreu, Federal Reserve Bank of St Louis; Nan Li, International Monetary Fund) Knowledge Diffusion, Trade and Innovation Across Countries and Sectors Discussant: Patrick Alexander, Bank of Canada Reception 18:00 - 19:00 Foyer 2 Saturday, November 11, 2017 Continental Breakfast 8:45- 9:15 (Foyer) Session 6: Information Frictions 9:15 - 12:00 Chair: Till Gross, Carleton University David Andolfatto, Federal Reserve Bank of St. Louis (with Ed Nosal, Federal Reserve Bank of Chicago) Bank Panics and Scale Economies Discussant: Miguel Molico, Bank of Canada Jeremy Greenwood, University of Pennsylvania (with Pengfei Han, University of Pennsylvania and Juan M. Sanchez, Federal Reserve Bank of St. Louis) Financing Ventures Discussant: Alexander Karaivanov, Simon Fraser University Break 10:45-11:15 (Foyer) Zachary Mahone, University of Toronto (with Pau Pujolas, McMaster University) Optimal Design and Quantitative Evaluation of the Minimum Wage Discussant: Coulibaly Louphou, University of Montreal Lunch 12:00 - 13:00 (Foyer) Session 7: Monetary 13:00 – 14:30 Chair: Nick Rowe, Carleton University Stephen Williamson, Western University Low Real Interest Rates and the Zero Lower Bound Discussant: Hongfei (Amy) Sun, Queen’s University Saroj Bhattarai, University of Texas at Austin Some Unpleasant Central Bank Balance Sheet Arithmetic Discussant: Mohammad Davoodalhosseini, Bank of Canada Break 14:30 - 15:00 (Foyer) 3 Session 8: Heterogeneous agents 15:00 – 16:30 Chair: Minjoon Lee, Carleton University Allen Head, Queen’s University (with Hongfei (Amy) Sun, Queen’s University; Chenggang Zhou, University of Waterloo) Default, Mortgage Standards and Housing Liquidity Discussant: Ronald Wolthoff, University of Toronto Xiaowen Lei, Simon Fraser University (with Kenneth Kasa, Simon Fraser University) Risk, Uncertainty, and the Dynamics of Inequality Discussant: Heejeong Kim, Concordia University Adjourn 16:30 - 17:00 Time Allocations • Presenters 25 minutes • Discussants 15 minutes • Q&A 5 minutes • Keynote 50 minutes • Q&A 10 minutes Sponsors We gratefully acknowledge the support of the: • Department of Economics, Carleton University • Faculty of Public Affairs, Carleton University • Centre for Monetary and Financial Economics (CMFE), Carleton University • Ottawa-Carleton Graduate School of Economics (OCGSE) • Bank of Canada • Canadian Economics Association 4 .