the Maltese economy. The model focuses on five broad macroeconomic shocks hitting the euro area; an aggregate demand shock … global market for oil, a generic monetary policy shock encompassing both conventional and unconventional interventions, and a … financial stress shock. The model is estimated using Bayesian methods over a sample that goes from 2003Q1 to 2019Q4 and …

aggregate. The impulse responses show that a positive shock to foreign liquidity leads for the euro area to a permanent increase …

model. We find that a union aggregate systemic risk shock results in a sharp decline in output, with two thirds of the …