Hi! I am Hariharan Jayashankar. I currently work as a Research Associate at the Center for Advance Financial Research and Learning. My interests include monetary economics, financial inclusion, and inequality.
M.Sc in Economics, 2016-17
London School of Economics
B.SC in Economics and Finance, 2013-16
University of London International Program (Lead University - LSE)
Worked on various project including:
Assisted a project whose principal investigators were Arun Chandrasekhar, Melanie Morten and Alessandr Peters with a naturalistic field experiment trying to look at frictions to small firms expanding in India including moral hazard, limited commitment and hidden income.
This is the first paper to estimate the NKPC in India using labour share as the activity variable. New Keynesian theory argues that inflation dynamics are determined by the marginal cost of firms in the economy. Gali and Gertler (1999) argue that labour share tracks marginal cost more precisely than what is typically used in NKPC estimations - the output gap. We find that, in the Indian context, the labour share shows more a more consistent and desirable relationship with inflation across inflation measures. This is in stark contrast with the output gap, which gives seemingly opposite dynamic correlation properties depending on whether one uses CPI or the GDP deflator. This gives us confidence of the labour share being a better measure of marginal cost compared to the output gap. Our main estimates of the Phillip’s curve give us more statistically accurate estimates of the slope of the Phillip’s curve when using labour share as compared to the output gap.