Similar Search Results

Mancini, Loriano; Ranaldo, Angelo; Wrampelmeyer, Jan - 2014 - This version: March 2014

comprehensive data set, we show that the market is resilient during crisis episodes and may even act as a shock absorber, in the … different repo markets shows that anonymous CCP-based trading, safe collateral, and the absence of an unwind mechanism are the …

Persistent link: https://www.econbiz.de/10010410308

Disinflation and monetary independence in Romania

Goczek, Lukasz - In: Baltic journal of economics 15 (2015) 1, pp. 65-79

between Romania and the Eurozone cannot be rejected, despite the rapid disinflation at the beginning of the sample. …

Persistent link: https://www.econbiz.de/10011890553

Unconventional Monetary Policy in a Financially Heterogeneous Monetary union

Schwanebeck, Benjamin - 2017

foreign counterparts, I examine its role as shock ampli.er and the implications for unconventional policy interventions Using … as shock multipliers on union output. Country-specific unconventional policies of direct lending to firms seem to be the … interbank market seems to be very sensitive to the type of shock and the interbank market size. Hence, the central bank should …

Persistent link: https://www.econbiz.de/10011773490

Structural distortions and decentralized fiscal policies in EMU

Beetsma, Roel; Bovenberg, Ary Lans - 2001

The combination of discretionary monetary policy, labor-market distortions and nominal wage rigidity yields an inflation bias as monetary policy tries to exploit nominal wage contracts to address labour-market distortions Although an inflation target eliminates this inflation bias, it creates a...

Persistent link: https://www.econbiz.de/10011398780

Debt spillovers in a monetary union : a novel rationale for central bank independence

Campoy-Miñarro, Juan C.; Negrete, Juan Carlos - In: Economics : the open-access, open-assessment journal 16 (2022) 1, pp. 123-136

Central bank independence has been championed on the grounds that it avoids political business cycles, the time-inconsistency problem of discretionary monetary policy, and political conflicts. However, after the financial crisis, central banks have resorted to unconventional monetary policies...

Persistent link: https://www.econbiz.de/10013252567

A detrimental feedback loop : deleveraging and adverse selection

Bertsch, Christoph - 2013

Market distress can be the catalyst of a deleveraging wave, as in the 2007/08 financial crisis. This paper demonstrates how market distress and deleveraging can fuel each other in the presence of adverse selection problems in asset markets. At the core of the detrimental feedback loop is agents'...

Persistent link: https://www.econbiz.de/10010202960

Should Monetary Policy Target Financial Stability?

Chen, William; Phelan, Gregory - 2022

Monetary policy can promote financial stability and improve household welfare. We con- sider a macro model with a financial sector in which banks do not actively issue equity, output and growth depend on the aggregate level of bank equity, and equilibrium is inefficient. Monetary policy rules...

Persistent link: https://www.econbiz.de/10014235861

Monetary unions and national welfare

Görgün, Cem - 2019

This paper studies monetary regime choice between monetary union and flexible exchange rate regime in a large open economy framework. The classical approach emphasizes that monetary unions are inherently costly because a single interest rate cannot respond effectively to different shocks of...

Persistent link: https://www.econbiz.de/10012131827

Monetary and fiscal policy dynamics in an asymmetric monetary union

Clausen, Volker; Wohltmann, Hans-Werner - 2002 - Second Revision

This paper investigates the dynamic effects of monetary and fiscal policy in a monetary union, which is characterized by asymmetric interest rate transmission. This asymmetry gives rise to intertemporal reversals in the relative effectiveness of policy on member country outputs. The direction...

Persistent link: https://www.econbiz.de/10010494186

Jump-starting the euro area recovery : would a rise in core fiscal spending help the periphery?

Blanchard, Olivier; Erceg, Christopher J.; Lindé, Jesper - 2015

We show that a .scal expansion by the core economies of the euro area would have a large and positive impact on periphery GDP assuming that policy rates remain low for a prolonged period. Under our preferred model speci.cation, an expansion of core government spending equal to one percent of...

Persistent link: https://www.econbiz.de/10011294265