This paper tests for the presence of a credit channel (particularly a bank-lending sub-channel) for monetary policy in the housing market. We argue that the importance of this channel for investment in residential housing is highly dependent on the structural features, and particularly the...

In order to study the role of money in an inflation targeting regime for monetary policy, we compare the interest rate and money as monetary policy instruments. Our dynamic stochastic general equilibrium model combines the money-in-the utility-function approach with sticky prices. We allow for...

We examine the entry and exit process in the Finnish manufacturing industry. Microeconomic explanations of entry and exit are derived from industrial organization theory and macroeconomic explanations from the theory of monetary transmission mechanism. Since the variables to be explained, the...