Showing 1 - 10 of 397
Most theoretical central bank models use short horizons and focus on a single tradeoff. However, in reality central banks play complex, long horizon games and face more than one tradeoff. We account for these issues in a simple infinite horizon game with a novel tradeoff: higher rates deter...
Persistent link: https://www.econbiz.de/10013080504
Persistent link: https://www.econbiz.de/10012795957
Persistent link: https://www.econbiz.de/10014478241
Persistent link: https://www.econbiz.de/10013438378
Persistent link: https://www.econbiz.de/10003929191
Persistent link: https://www.econbiz.de/10009751685
Persistent link: https://www.econbiz.de/10010465025
An increasing number of central banks implement monetary policy via two standing facilities: a lending facility and a deposit facility. In this paper we show that it is socially optimal to implement a non-zero interest rate spread. We prove this result in a dynamic general equilibrium model...
Persistent link: https://www.econbiz.de/10013135781
This paper provides a framework for modeling the risk-taking channel of monetary policy, the mechanism how financial intermediaries' incentives for liquidity transformation are affected by the central bank's reaction to financial crisis. Anticipating central bank's reaction to liquidity stress...
Persistent link: https://www.econbiz.de/10013091119
The paper analyses the effects of the monetary policy crisis management of the European Central Bank on the economic order of Germany. It is argued that in post-war Europe the German social market economy as designed by Eucken (1952) and Müller-Armack (1966) has been a core element of growth,...
Persistent link: https://www.econbiz.de/10012960114