Showing 1 - 10 of 508
The ECB's one size monetary policy is unlikely to fit all euro area members at all times, which raises the question of how much monetary policy stress this causes at the national level. I measure monetary policy stress as the difference between actual ECB interest rates and Taylor-rule implied...
Persistent link: https://www.econbiz.de/10010349426
The European Central Bank's asset purchase programs, while intended to stabilize the economy, may have unintended side effects on financial stability. This paper aims at gauging the effects on financial markets, the banking sector, and lending to non-financial firms. Using a structural vector...
Persistent link: https://www.econbiz.de/10011712553
I study whether monetary gold hoarding was the main cause of the Great Depression in a structural VAR analysis. The notion that monetary forces played an important role in bringing about the depression is well established in the narrative literature, but has more recently met some skepticism by...
Persistent link: https://www.econbiz.de/10012405992
During the post-pandemic inflation surge, many central banks actively used communication about the inflation outlook as … a policy tool to limit spillovers from realized to expected inflation. We present novel survey evidence showing that the … ECB's guidance about the projected inflation path substantially lowers households' inflation expectations in times of …
Persistent link: https://www.econbiz.de/10015410642
During the post-pandemic inflation surge, many central banks actively used communication about the inflation outlook as … a policy tool to limit spillovers from realized to expected inflation. We present novel survey evidence showing that the … ECB's guidance about the projected inflation path substantially lowers households' inflation expectations in times of …
Persistent link: https://www.econbiz.de/10015415743
This paper investigates the scarcity effects of quantitative easing (QE) policies, drawing on intra-day transaction-level data for German government bonds, purchased under the Public Sector Purchase Program (PSPP) of the ECB/Eurosystem. This paper is the first to match high-frequency QE purchase...
Persistent link: https://www.econbiz.de/10011632212
One of the main concerns associated with central bank digital currencies (CBDC) is the disintermediating effect on the banking sector in general, and the risk of bank runs in times of crisis in particular. This paper examines the implications of an interest-bearing CBDC on banking crises in a...
Persistent link: https://www.econbiz.de/10014495919
The dynamic effects of ECB announcements, disentangled into pure monetary policy and central bank information shocks, on the euro (EUR) exchange rate are examined using a Bayesian Proxy Vector Autoregressive (VAR) model fed with high-frequency data. Contractionary monetary policy shocks result...
Persistent link: https://www.econbiz.de/10012180641
This paper studies how banks’ balance sheets and funding costs interact in the transmission of monetary-policy rates to banks’ credit supply to firms. To do so, we use credit-registry data from Germany and Portugal together with the European Central Bank’s policy-rate cuts in mid-2014. The...
Persistent link: https://www.econbiz.de/10013259629
Policy Committee meetings and the Inflation Report significantly affect near-term interest rate expectations, an effect …
Persistent link: https://www.econbiz.de/10003384156