During the first decade of the 21st century, household FX loans spread in numerous countries in Central and Eastern …. Disregarding countries that joined the euro area, Hungary was the only state where household FX loans were completely phased out … about the causes and the impact of unsecured FX lending in the household sector and analyses the phasing-out of the …

inflation targeting. This way the central bank tries to address excessive household debt. While the merits of such policy have … freely adjust outstanding debt (refinancing) and (ii) dominant mortgage type in the economy (fixed or adjustable rate). I … their disposable income (hand-to-mouth) net of payments on long-term mortgage. I find that the optimal simple policy rule …

. Without the endogenous monetary policy reaction residential investment increases. House prices and household (mortgage) debt …What are the macroeconomic consequences of changing aggregate lending standards in residential mortgage markets, as … instrument, and, as a result, mortgage rates increase and residential investment declines. The monetary policy reaction function …

document substantial heterogeneity across these dimensions. The median household in the euro area has a positive interest rate …