Jordi Galí | |
|---|---|
.png) Galí in 2017 | |
| Born | (1961-01-04)January 4, 1961 (age 64) Barcelona, Spain |
| Academic background | |
| Alma mater | MIT(Ph.D. 1989) |
| Doctoral advisor | Olivier Blanchard[1] |
| Influences | Mark Gertler |
| Academic work | |
| Discipline | Macroeconomics |
| School or tradition | New Keynesian economics |
| Institutions | Universitat Pompeu Fabra (2001–) CREI (1999–) Barcelona Graduate School of Economics (2006–) New York University (1994–01) Columbia University (1989–94) |
| Awards | Yrjö Jahnsson Award (2005) |
| Website | |
Jordi Galí (born January 4, 1961) is aSpanishmacroeconomist who is regarded as one of the main figures inNew Keynesian macroeconomics today. He is a Senior Researcher at the Centre de Recerca en Economia Internacional (CREI), a Professor atUniversitat Pompeu Fabra and a Research Professor at theBarcelona School of Economics. After obtaining his doctorate from MIT in 1989 under the supervision ofOlivier Blanchard,[1] he held faculty positions atColumbia University andNew York University before moving to Barcelona.
Galí's research centers on the causes ofbusiness cycles and on optimalmonetary policy, especially through the lens oftime series analysis. His studies withRichard Clarida andMark Gertler suggest that monetary policy in many countries today resembles theTaylor rule, whereas the policy makers of the 1970s failed to follow the Taylor rule.[2][3]
Another theme of Galí's research is how central banks should set interest rates. In some of the simplestNew Keynesian macroeconomic models, stabilizing theinflation rate stabilizes theoutput gap too.[4] If this property were roughly true in reality, it would permit central bankers to pursue a simplifiedTaylor rule focused only on inflation stabilization, with no need to consider output growth.[5] Jordi Galí andOlivier Blanchard have called this property the 'divine coincidence', and have argued that in more realistic models which include additional frictions, it no longer holds. Instead, models with additional frictions (such asfrictional unemployment) imply a tradeoff between stabilizing inflation and stabilizing the output gap.[6]
Galí is perhaps best known for providingtime series evidence that improvements inlabour productivity cause employment to decrease. This finding contradicts the predictions of some well-knownreal business cycle models promoted by theNew Classical macroeconomic school, but is (according to Galí) consistent with manyNew Keynesian models.[7] However, the statistical methods ('structural vector autoregressions') on which this finding is based remain controversial.[8][9][10][11]
Galí is the most cited author ofJournal of Monetary Economics andEuropean Economic Review.[12]
In 2008,Princeton University Press published Galí's monographMonetary Policy, Inflation, and the Business Cycle. The book provides an introduction to New KeynesianDSGE models, and analyzes the implications of those models formonetary policy. It is written at a level intended for introductory graduate courses in macroeconomics. A second edition was published in 2015.
In 2005, Galí received theYrjö Jahnsson Award of theEuropean Economic Association, of which he is also a fellow,[13] in recognition of his work on New Keynesian macroeconomics. He shared the prize withTimothy Besley of theLondon School of Economics. Thomson Reuters lists him among the 'citation laureates' who are likely future winners of theNobel Prize in Economics.[14] For 2024 he was awarded theBBVA Foundation Frontiers of Knowledge Award in the category of "Economics and Finance".[15]
He was elected a member of theAcademia Europaea in 2012.[16]
