countries (i.e. Germany, France, Italy, and Spain), with particular attention to the calibration of cross-country financial and … trade linkages and country specific banking sector characteristics. We find that countercyclical macroprudential interventions …

members - Germany, France, Italy and Spain. For that purpose we use Bayesian VARs with identification based on a combination …) monetary policy shocks and the exchange rate shocks. Our shock-dependent measure of ERPT points to a large but volatile pass …

helps to explain the sluggishness of inflation and the persistence of output after a monetary policy shock. The ability of …In order to explain the joint fluctuations of output, inflation and the labor market, this paper first develops a … worker, job creation and job destruction conditional on a shock to monetary policy. Moreover, allowing for variation of the …

-term inflation volatility in response to exogenous shocks can be optimal; the optimal response to adverse financial shocks is to … lower interest rates, if not at the zero bound, and to engineer a short period of controlled inflation; the Taylor rule may …

linked to the monetary policy regime. Before and after the "Great Inflation", nominal wages moved in the same direction as … the (required) adjustment of real wages, and in the opposite direction of the price response. During the "Great Inflation … increasing inflation volatility. Using a standard DSGE model, we show that these stylized facts, in particular the estimated …