Stefano Gnocchi

Senior Research Director

Stefano Gnocchi is the Senior Research Director in the Canadian Economic Analysis (CEA) Department. His research interests include macroeconomics, monetary economics, and monetary and fiscal policy. Prior to joining the Bank, Stefano held academic positions at the Universitat Autonoma de Barcelona and the Barcelona Graduate School of Economics. He holds a Ph.D. in Economics from Universitat Pompeu Fabra.


Stefano Gnocchi

Senior Research Director
Canadian Economic Analysis
Strategic Leadership and Support

Bank of Canada
234 Wellington Street
Ottawa, ON, K1A 0G9

Curriculum vitae


Downward Nominal Wage Rigidity Meets the Zero Lower Bound

Staff Working Paper 2017-16 Robert Amano, Stefano Gnocchi
We add downward nominal wage rigidity to a standard New Keynesian model with sticky prices and wages, where the zero lower bound on nominal interest rates is allowed to bind. We find that wage rigidity not only reduces the frequency of zero bound episodes but also mitigates the severity of corresponding recessions.

May 16, 2016 The Micro and Macro of Downward Nominal Wage Rigidity

The article examines the extent of downward nominal wage rigidity in Canada and its implications for monetary policy. The authors ask whether its existence is a sufficient argument for a higher inflation target if concerns about the effective lower bound are adequately addressed.

Monetary Commitment and the Level of Public Debt

Staff Working Paper 2016-3 Stefano Gnocchi, Luisa Lambertini
We analyze the interaction between committed monetary policy and discretionary fiscal policy in a model with public debt, endogenous government expenditures, distortive taxation and nominal rigidities.

Housework and Fiscal Expansions

Staff Working Paper 2014-34 Stefano Gnocchi, Daniela Hauser, Evi Pappa
We build an otherwise-standard business cycle model with housework, calibrated consistently with data on time use, in order to discipline consumption-hours complementarity and relate its strength to the size of fiscal multipliers.

Labor Market Participation, Unemployment and Monetary Policy

Staff Working Paper 2014-9 Alessia Campolmi, Stefano Gnocchi
We incorporate a participation decision in a standard New Keynesian model with matching frictions and show that treating the labor force as constant leads to incorrect evaluation of alternative policies.

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Refereed journals

  • "Housework and Fiscal Expansions",
    (with Daniela Hauser and Evi Pappa), Journal of Monetary Economics, Vol. 79, pages 94-108, May 2016.
  • "Labor Market Participation, Unemployment and Monetary Policy",
    (with Alessia Campolmi), Journal of Monetary Economics, Vol. 79, pages 17-29, May 2016.
  • "Do Labor Market Institutions Matter for Business Cycles?",
    (with Andresa Lagerborg and Evi Pappa), Journal of Economic Dynamics and Control, Vol. 51, pages 299-317, February 2015.
  • "Monetary Commitment and Fiscal Discretion: The Optimal Policy Mix",
    American Economic Journal: Macroeconomics, Vol. 5, Issue 2, pages 187-216, April 2013.
  • "Non-Atomistic Wage Setters and Monetary Policy in a New-Keynesian Framework",
    Journal of Money, Credit and Banking, Vol. 41, Issue 8, pages 1613-1630, December 2009.

Other Research

  • "Discretionary Fiscal Policy and Optimal Monetary Policy in a Currency Area",
    Working Paper No. 602, Dipartimento di Scienze Economiche Bologna, 2007.
  • "Optimal simple monetary policy rules and non-atomistic wage setters in a New-Keynesian framework",
    Working Paper No. 690, European Central Bank, 2006.


  • Universitat Pompeu Fabra, Ph.D. in Economics, 2008
  • Universitat Pompeu Fabra, M. Sc. In Economics, 2003
  • Bocconi University, M. Sc. in Economics, 2002
  • Bocconi University, B.A. in Economics (DES, Discipline Economico-Sociali), 2001

Research Interests

  • Macroeconomics
  • Monetary Economics
  • Monetary and Fiscal Policy


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