Economic Bulletin Archive

The Economic Bulletin offers snapshots of the Kansas City Fed's latest economic findings and perspectives on national economic conditions and issues related to monetary policy, industries, and markets. The publication launched in 2013 as The Macro Bulletin and became the Economic Bulletin in 2019.

To receive email alerts for new Economic Bulletin articles, subscribe here.


234 result(s) found
Article Title Author(s) Date Type

Why Are Multifamily Property Prices Falling?

Multifamily property prices climbed to record levels in recent years amid low interest rates and surging housing demand. More recently, prices have retreated in the face of higher interest rates, slower rent growth, elevated operating expenses, and increased delivery of new units available for rent. However, the deterioration in these fundamentals does not fully explain recent property price declines, suggesting investors’ near-term outlooks have been pessimistic.

Matt Hanauer
W. Blake Marsh
Nicholas Sly Expandable Row
September 4, 2024
Expandable Row
Expandable Row

Considerations for the Longer-Run Maturity Composition of the Federal Reserve’s Treasury Portfolio

The Federal Reserve’s Treasury portfolio is weighted toward long-duration assets, reflecting large-scale asset purchases deployed after the financial crisis and again during the pandemic. In the longer run, policymakers may prefer to return to a shorter-duration Treasury portfolio like the Fed maintained before 2008. However, the exact composition of the portfolio will depend on how policymakers balance competing considerations: policy space, interest rate risk, market neutrality, and safe-asset provision.

Rajdeep Sengupta
A. Lee Smith Expandable Row
August 28, 2024
Expandable Row
Expandable Row

Data file for "Labor Shortages in the Healthcare Sector Have Eased, Which May Soften Price Pressures"

Data file for "Labor Shortages in the Healthcare Sector Have Eased, Which May Soften Price Pressures" by Johannes Matschke and Emily Pollard, Economic Bulletin, August 16, 2024.

Emily Pollard
Johannes Matschke
Emily Pollard Expandable Row
August 23, 2024
Expandable Row
Expandable Row

Labor Shortages in the Healthcare Sector Have Eased, Which May Soften Price Pressures

Following severe labor shortages during the post-pandemic recovery, employment and wage growth in the healthcare sector have returned to their pre-pandemic trends. The healthcare sector is labor intensive, and inflation in the sector has historically tracked wage growth. Thus, lower wage growth may limit price pressures in the healthcare sector.

Johannes Matschke
Emily Pollard Expandable Row
August 16, 2024
Expandable Row
Expandable Row

Why Haven’t Recent Rate Increases Slowed the Economy More? Look to Unusually Low Private-Lending Spreads

Despite a large and rapid increase in the policy rate since March 2022, economic activity has remained resilient. We argue that private-lending spreads—the difference between the policy rate and rates private-sector borrowers pay—are surprisingly low and a major factor for why rate hikes have not slowed the economy more. If spreads are as insensitive to rate cuts as they are to rate hikes, then they may dampen the effect of expansionary monetary policy.

Andrew Glover
Johnson Oliyide Expandable Row
August 14, 2024
Expandable Row
Expandable Row

Agricultural Economic Summit Highlights Growing Connection Between Agriculture and Energy

The agriculture and energy sectors have become more tightly connected as renewable energy increases demand for input crops and creates alternative income opportunities for farms. Industry experts underscored these links at the Kansas City Fed’s Agricultural Economic Summit in May. Despite some longer-run uncertainties, Summit participants expect energy investments and developments to have a significant influence on the future structure of ag and commodity markets.

Nate Kauffman
Ty Kreitman Expandable Row
August 5, 2024
Expandable Row
Expandable Row

Consumer Discretionary Sector Has Boosted Recent Regional Services Activity as Business and Professional Activity Slows

The Kansas City Fed’s monthly services survey tracks business activity for a wide variety of services firms in the Tenth District. We segment the results into consumer services (both discretionary and nondiscretionary) and business and professional services and find that the consumer sector has been stronger than the business and professional sector recently, driven by discretionary services. Accordingly, consumer services firms report greater pricing power, expected wage growth, and capital expenditures.

Chad Wilkerson
Chase Farha Expandable Row
June 26, 2024
Expandable Row
Expandable Row

Are Firms Hoarding Cash Post-Pandemic?

Cash holdings rose to record levels following the pandemic, raising concerns that firms are “hoarding” cash beyond what is needed for economic use. To investigate this claim, we examine the determinants of cash holdings at public firms pre- and post-pandemic. We find that despite significant structural changes in the economy, firms’ cash allocation incentives are mostly unchanged. Investment opportunities and profitability best explain the distribution of cash across firms today, followed by precautionary motives.

Karlye Dilts Stedman
W. Blake Marsh
Phillip An Expandable Row
June 25, 2024
Expandable Row
Expandable Row

Housing Services Inflation May Decline Only Gradually

The inflation rate for housing services remains about 2 percentage points above its 2019 level. Several factors are likely to slow its decline, including more than a decade of underbuilding prior to the pandemic, limited capacity to increase the nation’s housing stock, and the limited number of homes available for sale due to the steeper mortgage rates owners would face if they sold and purchased a different home.

Jordan Rappaport Expandable Row
June 24, 2024
Expandable Row
Expandable Row

Data file for "What Has Driven the Recent Increase in Retirements?" Updated through April 2024

Data file for the paper, "What Has Driven the Recent Increase in Retirements?" by Jun Nie and Shu-Kuei X. Yang, updated through April 2024.

Jun Nie
Shu-Kuei X. Yang Expandable Row
June 20, 2024
Expandable Row
Expandable Row
Showing
Results Showing Per Page
  • 10Selected
  • 25Press Enter to Select.
  • 50Press Enter to Select.
  • 100Press Enter to Select.
results per page.