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Iñaki Aldasoro

@aldasoro.bsky.social
2.1K followers 476 following 2.3K posts

Principal Economist at the Bank for International Settlements. Views are my own, so is the silly sense of humor.

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Iñaki Aldasoro @aldasoro.bsky.social · 19h
Not being able to accept death is hard stuff.
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Iñaki Aldasoro @aldasoro.bsky.social · 02/10/2026
A revised version of “The impact of artificial intelligence on output and inflation” now published in Economic Modelling. Free download at link for the next 50 days, get your copy! 😊 www.sciencedirect.com/science/arti...
sciencedirect.com
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Jo Michell @jomichell.bsky.social · 21/09/2026
Not sure there are many Kalecki heads on this website but I'm going to give this a try anyway. If this isn't your cup of tea, you might want to hit mute now...
A journal cover page for "An analytical heterogeneous agent macro model of concentration, markups, and falling labour shares" by Karsten Kohler, Jo Michell and Ayoze Alfageme, published in the Journal of Economic Dynamics and Control.

The abstract text is: This paper presents an analytical heterogeneous agent model (HAM) to explore micro-level concentration dynamics and their effects on macro-level distribution and growth. It contributes to recent work on macroeconomic agent-based models (ABMs) by comparing a small-scale ABM with bilateral firm-customer matching to a simplified HAM without direct agent interactions. The HAM replicates key ABM results while allowing for analytical solutions. In the model, larger firms benefit from lower unit costs due to economies of scale, gain larger market shares, and set higher markups. More profitable firms temporarily grow faster, leading to endogenous changes in the firm size distribution. The resulting right-skewed distributions create a divergence between the average profit share across firms and the aggregate profit share, which is driven by the largest firms. The decline in the labour share reduces aggregate consumption and slows growth. Despite its simplicity, the model captures key empirical patterns related to superstar firms and declining labour shares.
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Iñaki Aldasoro @aldasoro.bsky.social · 02/10/2026
ICYMI, new bulletin out on the interplay between automation through AI/robots and ageing
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Iñaki Aldasoro @aldasoro.bsky.social · 02/10/2026
Talking stablecoins and Treasuries (definitely not Treasurys) at the WBS conference on DeFi and Digital Currencies in London a few days ago.
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Iñaki Aldasoro @aldasoro.bsky.social · 25/09/2026
Aging and automation
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Iñaki Aldasoro @aldasoro.bsky.social · 24/09/2026
New BIS Bulletin out! AI and robots could ease demographic pressures. But automation potential is poorly aligned with the sectors where workforces are ageing in several advanced economies. We explore policy implications and make the aging/automation dataset available www.bis.org/publications...
bis.org
Old workers, young machines: can AI and automation offset population ageing? | Bank for International Settlements
Key takeaways Artificial intelligence (AI) and robots have the potential to offset the macroeconomic consequences of an ageing workforce, but the ability to automate jobs depends on which industries a...
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The Wall Street Journal @wsj.com · 20/09/2026
A landmark crypto bill collapsed this week after months of protracted negotiations. It marked a spectacular choke by an industry that had just recently begun reveling in its new lobbying clout, with President Trump in its corner.
on.wsj.com
Crypto Blew Its Big Moment—and the Blame Game Has Begun
Coinbase CEO Brian Armstrong was at the center of a protracted fight over the role of digital assets in mainstream finance.
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Robin Wigglesworth @robinwigglesworth.ft.com · 18/09/2026
Damn. @tobyn.bsky.social has produced the most detailed map of Big AI’s incestuous relationships I’ve seen so far. And it’s interactive! www.ft.com/content/8475...
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Iñaki Aldasoro @aldasoro.bsky.social · 18/09/2026
ICYMI, the demand side of private credit
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Iñaki Aldasoro @aldasoro.bsky.social · 18/09/2026
Great stuff from @tobyn.bsky.social with amazing visualizations! Some stuff coming out soon on this (not by me, but others), stay tuned!
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Iñaki Aldasoro @aldasoro.bsky.social · 18/09/2026
This may be it.
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Brian Romanchuk @brianromanchuk.bsky.social · 17/09/2026
The Treasuries/Treasurys conflict seems obscure until you realise some people’s livelihoods depend upon writing about the bond market at a high frequency.
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Iñaki Aldasoro @aldasoro.bsky.social · 17/09/2026
Messi-hating is back.
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Iñaki Aldasoro @aldasoro.bsky.social · 17/09/2026
There are two types of people in this world: those who write Treasurys, and those who write Treasuries. Which one are you?
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Iñaki Aldasoro @aldasoro.bsky.social · 16/09/2026
@bhgreeley.bsky.social where is the deserved rate right now?
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Iñaki Aldasoro @aldasoro.bsky.social · 16/09/2026
static.klipy.com
Futurenostlgia Woman Laughing at Phone
ALT: Futurenostlgia Woman Laughing at Phone
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Iñaki Aldasoro @aldasoro.bsky.social · 16/09/2026
I for one laughed at @katie0martin.ft.com’s Rob(ot) joke and I am not ashamed of it
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Iñaki Aldasoro @aldasoro.bsky.social · 14/09/2026
The growth of private credit has often been attributed to tighter banking regulation and low policy rates. Such things certainly played a role early on, but they are difficult to reconcile with the rapid growth in private credit since 2020, when rates went up and regulation, if anything, loosened
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Metro North Capital @metronorthcapital.bsky.social · 15/09/2026
>Techbros form bank > Immediately scalped by HFTs Masterful gambit.
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Iñaki Aldasoro @aldasoro.bsky.social · 14/09/2026
The growth of private credit has often been attributed to tighter banking regulation and low policy rates. Such things certainly played a role early on, but they are difficult to reconcile with the rapid growth in private credit since 2020, when rates went up and regulation, if anything, loosened
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Iñaki Aldasoro @aldasoro.bsky.social · 14/09/2026
Hey hey! BIS Quarterly Review is out. Check out our article with Puriya Abbassi and Sebastian Doerr on the role of private credit in financing the digital economy www.bis.org/publications...
bis.org
Financing the digital economy: the role of private credit | Bank for International Settlements
Private credit helped finance the post-2020 shift to the digital economy by lending against cash flows and intangible assets.
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Iñaki Aldasoro @aldasoro.bsky.social · 12/09/2026
Things I was frightened of as a child: The blockchain, especially with regards to whether it fixes this. Atomic settlement. Narrow banking.
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Iñaki Aldasoro @aldasoro.bsky.social · 12/09/2026
“If we go public in 2027/28, we still might enjoy a couple of years before my product wipes humanity”, the tech mogul added.
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Iñaki Aldasoro @aldasoro.bsky.social · 12/09/2026
Today I learned that there is a “Calamity Calibration Committee”. If you are open, every day you can learn something new.
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Iñaki Aldasoro @aldasoro.bsky.social · 12/09/2026
Human extinction? Bullish for stocks.
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Iñaki Aldasoro @aldasoro.bsky.social · 11/09/2026
New Steven Wilson album coming
static.klipy.com
Will Ferrell's Awesome Yes!
ALT: Will Ferrell's Awesome Yes!
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Iñaki Aldasoro @aldasoro.bsky.social · 10/09/2026
Someone has been looking at the bond market
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Iñaki Aldasoro @aldasoro.bsky.social · 10/09/2026
We need stables on the long end! Stat!
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Iñaki Aldasoro @aldasoro.bsky.social · 10/09/2026
Gonna go out on a limb here and put this forward: money.
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Iñaki Aldasoro @aldasoro.bsky.social · 09/09/2026
Mapping stablecoin supply, from the indefatigable @rashad-ahmed.bsky.social anderseninstitute.org/wp-content/u...
anderseninstitute.org
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Brendan Greeley @bhgreeley.bsky.social · 09/09/2026
At 4:30 EST today I'll be giving a talk at Princeton's Julis-Rabinowitz Center about how America claimed sovereignty over its almighty dollar, and how that sovereignty is constantly under threat. Streamable! Moderated by @colbylsmith.bsky.social! history.princeton.edu/news-events/...
history.princeton.edu
The Almighty Dollar: 500 Years of the World's Most Powerful Money
Open to the Public and the Princeton University Community; Livestream available on Media CentralIn this ambitious and groundbreaking history of the dollar, financial journalist and economic scholar Br...
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Iñaki Aldasoro @aldasoro.bsky.social · 09/09/2026
Blockchain fixes this, as I say often ‘round here
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Tuffy @smtuffy.bsky.social · 09/09/2026
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Iñaki Aldasoro @aldasoro.bsky.social · 09/09/2026
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Iñaki Aldasoro @aldasoro.bsky.social · 09/09/2026
[Darth Vader voice: “the circle is complete”] Tether launches private credit fund in effort to boost stablecoin use www.ft.com/content/b9e0...
ft.com
Tether launches private credit fund in effort to boost stablecoin use
Move by world’s largest stablecoin issuer comes as market faces challenging conditions
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Iñaki Aldasoro @aldasoro.bsky.social · 08/09/2026
Been there
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Iñaki Aldasoro @aldasoro.bsky.social · 07/09/2026
The unbundling theory of everything bsky.app/profile/alda...
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Iñaki Aldasoro @aldasoro.bsky.social · 06/09/2026
Not only it is superbly done, he also managed to squeeze in a plug for the book quite seamlessly, chapeau
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Girl on the Net @girlonthenet.bsky.social · 06/09/2026
Welcome to BlueSky
Screenshot of BlueSky post which reads “Humor is definitely a toxic phenomenon that I will never understand.”
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Financial Times @financialtimes.com · 05/09/2026
Treasury sell-off piles pressure on weakest US borrowers ft.trib.al/XzeRAxv
ft.trib.al
Treasury sell-off piles pressure on weakest US borrowers
Spreads on riskiest junk debt have climbed to their highest level since the market meltdown that followed last year’s ‘liberation day’ tariff blitz
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Robin Wigglesworth @robinwigglesworth.ft.com · 05/09/2026
And lo, an essay on the the repo market and why it is like the "dark matter" of modern finance: vast, omnipresent, powerful and hidden — and therefore most easily observed through its impact on other bodies. www.ft.com/content/8a7e...
ft.com
The repo market is the ‘dark matter’ of finance: powerful and perilous
How worried should we be about the multitrillion-dollar market’s influence over the cosmos of central banks, bonds, pension plans and private credit firms?
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Iñaki Aldasoro @aldasoro.bsky.social · 04/09/2026
BLOCKCHAIN FIXES THIS
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Iñaki Aldasoro @aldasoro.bsky.social · 04/09/2026
Had a chat with Claudio and he reminded me of this old article of his ideas.repec.org/a/bis/bisqtr... Anticipates the gist of the now classic article on market liquidity and funding liquidity by Brunnermeier/Pedersen
ideas.repec.org
Market liquidity and stress: selected issues and policy impl
Since turbulence engulfed financial markets in mature economies in autumn 1998, market liquidity has attracted increasing attention on the part of market participants, central banks and regulatory and
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Iñaki Aldasoro @aldasoro.bsky.social · 03/09/2026
Update: 6 pages in I still have no clue. Astounding. A friend tells me this is 75% Claude, 25% human. I think this has a 25% margin of error.
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Iñaki Aldasoro @aldasoro.bsky.social · 03/09/2026
As a former Argetinean president once said: “I have no proof, but I also have no doubt”
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Iñaki Aldasoro @aldasoro.bsky.social · 03/09/2026
static.klipy.com
Im The Best Im Awesome
ALT: Im The Best Im Awesome
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Iñaki Aldasoro @aldasoro.bsky.social · 03/09/2026
I am refereeing this paper, and the abstract is clearly written by AI (they are one centimeter short of using “load-bearing”). I have absolutely no clue what is going on: what they are doing, how they are doing it, what they are finding.
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Iñaki Aldasoro @aldasoro.bsky.social · 03/09/2026
What about elsewhere?
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Iñaki Aldasoro @aldasoro.bsky.social · 31/08/2026
BIS website just got a facelift, check it out! www.bis.org
bis.org
Welcome to the BIS | Bank for International Settlements
Promoting global monetary and financial stability through international cooperation
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