School of Economics


profile image for Professor Jagjit Chadha

Professor Jagjit Chadha

Professor of Economics

School of Economics



Professor Jagjit Chadha works on macroeconomics with a particular focus on monetary issues.  His interests lie mostly, but not exclusively, with DSGE models in which he works on developing richer financial mechanisms in these models for example to incorporate money, bank behaviour, inventory and the term structure of interest rates. He is Chair of the Money, Macro and Finance Research Group and specialist adviser to the Treasury Committee. He has acted as an academic adviser to HM Treasury, the Bank of England and many policy-making institutions around the world. He is a member of the Macroeconomics, Growth and History Centre (MaGHiC).

Jagjit is currently on a secondment as Director of the National Institute of Economic and Social Research (NIESR). The Institute has a long and respected history. The Institute is situated in Westminster and provides research, forecasts and advice to Government and beyond on a wide range of important economic and social issues.

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Jagjit's publications can also be found on RePEc and Orcid.

Also view these in the Kent Academic Repository

Shibayama, K. and Chadha, J. (2014). Inventories and the Stockout Constraint in General Equilibrium. The B.E. Journal of Macroeconomics: Topics [Online] 14:27-74. Available at:
Shibayama, K. and Chadha, J. (2014). Inventories and the stockout constraint in general equilibrium. The B.E. Journal of Macroeconomics: Contributions [Online] 14. Available at:
Chadha, J., Corrado, L. and Holly, S. (2013). A Note on Money and the Conduct of Monetary Policy. Macroeconomic Dynamics [Online] First:1-30. Available at:
Chadha, J. and Waters, A. (2013). Applying a macro-finance yield curve to UK quantitative Easing. Journal of Banking & Finance [Online] 39:68-86. Available at:
Chadha, J. and Warren, J. (2013). Accounting for the Great Recession in the UK: Real Business Cycles and Financial Frictions. Manchester School [Online] 81:43-64. Available at:
Chadha, J. (2011). Policy Choices Under Monetary and Fiscal Theories of the Price Level. Macroeconomics and Finance in Emerging Market Economies [Online] 4:189-212. Available at:
Chadha, J., Corrado, L. and Sun, Q. (2010). Money and Liquidity Effects: Separating Demand from Supply. Journal of Economic Dynamics and Control [Online] 34:1732-1747. Available at:
Chadha, J. and Nolan, C. (2007). Optimal simple rules for the conduct of monetary and fiscal policy. Journal of Macroeconomics [Online] 29:665-689. Available at:
Chadha, J., MacMillan, P. and Nolan, C. (2007). Independence day for the 'Old Lady': A natura experiment on the implications of central bank independence. Manchester School [Online] 75:311-327. Available at:
Chadha, J. and Holly, S. (2006). Macroeconomic Models and the Yield Curve: An assessment of the Fit. Journal of Economics Dynamics and Control [Online]. Available at:
Chadha, J. and Corrado, L. (2007). On the Determinacy of Monetary Policy under Expectational Errors. University of St Andrews. Available at:
Showing 11 of 26 total publications in KAR. [See all in KAR]


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Research interests

Jagjit's research interests lie in quantitative business cycle theory and financial economics - his enquires are guided by the need to understand the causes of business cycle fluctuations. The consequent need to develop appropriate stabilisation policy (or rules) is a supplementary interest.

Jagjit's RePEc page is

Working papers

+ denotes co-authored.

  • "Widening the Net: The Role of Bank Reserves in Monetary Policy Analysis". Revise and Resubmit to the Journal of Money, Credit and Banking.+
  • "Consumption Dynamics, Housing Collateral and Stabilisation Policy". Submitted to Journal of Monetary Economics.+
  • "Inertial Expectations and Yield Curve Dynamics: Some Implications for Monetary Guidance". Submitted to the Journal of Banking and Finance.+
  • "Midas, transmuting all, into paper: the Bank of England and the Banque de France during the Napoleonic Wars". Kent Discussion Paper in Economics 13/15 (and elsewhere) to be submitted to The Economic Journal.+
  • "Bayesian Estimation of DSGE models: Is the Workhorse Model Identified?". Kent Discussion Paper in Economics 11/25, Revise and Resubmit invited for the Journal Economics, Dynamics and Control.+
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PhD supervision

Current students

Past students

  • James Warren: "Empirical Business Cycle Models", registered 2009
  • Dr Jack Meaning, registered 2010
  • Dr Alex Waters: "Capital Markets and Financial Assets", completed 2013
  • Dr Eddie Gerba: "Essays on Financial Intermediation and Financial Stability", completed 2013


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Welcome to the gateway to my comments on the economy.

I will try to write frequently on these matters form the perspective of an academic economist, albeit one with both City and policy-making experience.

Comments are more than welcome and I hope that these notes will further our collective understanding of recent and ongoing economic developments.


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School of Economics, Keynes College, University of Kent, Canterbury, Kent, CT2 7NP

Undergraduate enquiries: +44 (0) 1227 827497, Postgraduate enquiries: +44 (0) 1227 827440 or email us

Last Updated: 11/10/2017