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In order to fight the economic consequences of the COVID-19 pandemic, monetary and fiscal policy announced a large variety of support packages which are often unprecedented in size. In this paper, we provide an empirical analysis of the responses of European financial markets to these policy...
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This paper assesses the effectiveness of risk sharing mechanisms in Europe by breaking down the factor income … diversification boosts or dampens risk sharing. Using a panel of European countries, we compare the years before and after the 2008 … risk sharing in recent years and that a higher integration in the bond and equity markets significantly improves risk …
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This paper examines which measures of financial conditions are informative about the tail risks to output growth in the euro area. The Composite Indicator of Systemic Stress (CISS) is more informative than indicators focusing on narrower segments of financial markets or their simple aggregation...
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