argue that the German government handled the immediate response to the energy shock well, but subsequently waited too long … controls as an optimal policy response to an energy shock within a general equilibrium framework. We develop a simple … generate endogenous price uncertainty in the wake of an energy shock. We also link our analysis to the so-called sunspot …

trade result in an asymmetric reaction to an otherwise symmetric shock. In this context, we show that oil price shocks can …

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 …, following a negative financial shock. In turn, locus of control is closely associated with interpersonal trust levels. …

cycle model. In particular, we analyze the effect of a monetary policy shock and investigate how labor market frictions … persistent movements of aggregate inflation. Moreover, the impact of a monetary policy shock on unemployment and inflation …