effects and aggregate welfare implications of alternative monetary policy rules in emerging market economies. Relative to … households are worse off due to higher consumption volatility. A fixed exchange rate reduces the welfare of these households and … aggregate welfare when the economy is hit by positive shocks to nontradable goods productivity or foreign interest rates. Fiscal …

under large output shocks. The outcomes of capital account switches are better and closer to policymakers' expectations in …

exploit two shocks to Italian bank CDS spreads and equity valuations: the 2007-2009 financial crisis and the 2010 …

We examine the Exchange Rate Volatility (ERV) response to the Economic Policy Uncertainty (EPU) shocks from a panel VAR … postulate that (a) both home and foreign EPU shocks are highly significant in explaining the ERV, (b) the contribution of the …

There is increasing evidence that the interaction between shocks and labour market institutions is crucial to … interacting external shocks and labour market institutions. -- Exchange rates ; international trade ; job flows ; employment …

This paper evaluates the effect of financial shocks on interpersonal trust levels, exploiting longitudinal survey data … a positive financial shock (e.g., winning the lottery). However, trust falls sharply following a negative financial … shock (e.g., bankruptcy). In terms of magnitude, this effect is approximately equivalent to the effect observed after one …

How does the asymmetry of labor market institutions affect the adjustment of a currency union to shocks? To answer this …, as they directly reflect how the currency union responds to shocks. We highlight the following three results: First, we … volatility of both inflation and unemployment differentials. Finally, we show that it is important to take into account the …

This paper connects two salient economic features: (i) Fiscal shocks have asymmetric effects across business cycle … of fiscal shocks and unemployment-output trade-offs are studied in this paper using state-of-the-art TVP-VAR modelling …-run impact of fiscal shocks on Okun's trade-off which, based on the experience of the Global Financial Crisis, becomes larger in …

We use electoral survey data to examine the impact that two large external shocks had on the development of New Zealand … migration, both increased voting for NZF in its first years of existence. These shocks led to changes in political attitudes and … in explaining the rise of populism in NZ. Understanding how these shocks led to the development of NZF is particularly …

supply, and a multisectoral CGE model which simulates the macroeconomic effects of a reform or a shock. The integration of … economy. At the individual level, we find that the macroeconomic shock reduces poverty and, to a lesser extent, income …