We lay out an empirical and a theoretical model to analyze the effects of non-fundamental exchange rate volatility on … of the conditional exogenous exchange rate volatility on the conditional mean of the endogenous variables in our open … empirically. In the second part, we investigate the effect of non-fundamental exchange rate volatility in a stochastic open …

general equilibrium model that integrates a theory of equilibrium unemployment into a monetary model with nominal price … worker, job creation and job destruction conditional on a shock to monetary policy. Moreover, allowing for variation of the … helps to explain the sluggishness of inflation and the persistence of output after a monetary policy shock. The ability of …

This paper analyses the international transmission of monetary shocks with a special focus on the effects of foreign … including a global liquidity aggregate. The impulse responses obtained show that a positive shock to extra-euro area liquidity …

We use a Vector Auto Regression (VAR) analysis to explore the (spill-over) effects of fiscal policy shocks in Europe …. To enhance comparability with the existing literature, we first analyse the effects of these shocks at the national level …. Then, we turn to study the cross-border spill-overs of fiscal shocks via the trade channel. Fiscal expansions in Germany …

to shocks. We use a stylised two-bloc, two-period model of the global economy, with a simple stochastic productivity … shock affecting only one country. Efficient global risk-sharing imply that expected productivity gains in one country will … attract equity inflows in excess of those needed to finance the current account. Upward-biased expectations about prospects …

first two years of monetary union can be largely attributed to oil price and exchange rate developments. …

the exchange rate depends on the structure of the economy and on the nature of the relevant shocks. In the case of very … open economies the exchange rate will look quasi-fixed in response to shocks stemming from the international capital …