New Challenges for Monetary-Fiscal Policy Interactions, 6–7 October 2025

Sveriges Riksbank is hosting a research conference on “New Challenges for Monetary-Fiscal Policy Interactions” on 6–7 October 2025. The conference will focus on how to design, calibrate, and coordinate monetary and fiscal policies in today’s global economy, against the backdrop of high government debt in many countries and the recent period with high and volatile inflation.

The conference includes ten presentations of academic papers and a concluding policy panel.

Questions about the conference can be directed to conference@riksbank.se.

Programme

New Challenges for Monetary-Fiscal Policy Interactions, 6–7 October 2025

[Programme]

Session 1: Policy interactions

Chair: Ulf Söderström (Sveriges Riksbank)

Brothers in arms: Monetary-fiscal interactions without Ricardian equivalence
Lukasz Rachel and Morten O. Ravn (University College London)
Discussant: Stéphane Dupraz (Banque de France)

A theory of public debt as a macro-financial stability tool
Guido Ascari (University of Pavia and De Nederlandsche Bank), Jacopo Bonchi (University of Bologna) and Andrea Ferrero (University of Oxford)
Discussant: Bartosz Maćkowiak (European Central Bank)

Inflation-indexed debt and the risks of fiscal dominance
Martin Ellison and Tobias Kawalec (University of Oxford)
Discussant: Martin Flodén (Stockholm University)

Session 2: Yield curves

Chair: Ettore Savoia (Sveriges Riksbank)

Dangerous liaisons? Debt supply and convenience yield spillovers in the euro area
Cristian Arcidiacono (University of Bern), Matthieu Bellon (International Monetary Fund) and Matthias Gnewuch (European Stability Mechanism)
Discussant: Markus Sihvonen (Bank of Finland)

The yield curve impact of government debt issuance surprises and the implications for QT
Michael Joyce and Andras Lengyel (Bank of England)
Discussant: Giulia Sestieri (Banque de France)

Session 3: Inflation expectations

Chair: Roberto Billi (Sveriges Riksbank)

Sticky inflation: Monetary policy when debt drags inflation expectations
Saki Bigio (University of California Los Angeles), Nicolas Caramp (University of California Davis) and Dejanir Silva (Purdue University)
Discussant: Sarah Mouabbi (Banque de France)

Monetary and fiscal policy interactions with idiosyncratic uncertainty and bounded rationality
Marialaura Seccareccia (LUISS Guido Carli)
Discussant: Karl Walentin (Uppsala University)

Session 4: Fiscal sustainability and open economy

Chair: Mathias Klein (Sveriges Riksbank)

Fiscal policy and the saving glut of the rich
Francesco Bianchi (Johns Hopkins University)
Discussant: Carlo Galli (Universidad Carlos III de Madrid)

Asset purchases in a monetary union with default and liquidity risks
Huixin Bi (Federal Reserve Bank of Kansas City), Andrew Foerster (Federal Reserve Bank of Kansas City) and Nora Traum (HEC Montréal)
Discussant: Sebastian Schmidt (European Central Bank)

Should monetary and fiscal policy pull in the same direction?
Drago Bergholt (Norges Bank), Øistein Røisland (Norges Bank), Tommy Sveen (BI Norwegian Business School) and Ragnar Torvik (Norwegian University of Science and Technology and BI Norwegian Business School)
Discussant: Søren Ravn (University of Copenhagen)

Panel discussion: Challenges for monetary-fiscal interactions

Chair: Anders Vredin (Sveriges Riksbank)

Roel Beetsma (University of Amsterdam)
Eric M. Leeper (University of Indiana)
Anna Seim (Sveriges Riksbank)