Viewing 3 posts categorized under Monetary Policy
June 26, 2024
This research investigates whether joining the European Monetary Union and losing own’s national monetary policy affected the economic growth of Eurozone countries. By using the synthetic control method, it creates counterfactual scenarios to estimate how each Eurozone country would have performed had it not adopted the euro.
Our findings indicate that most Eurozone countries experienced minimal changes in economic growth post-adoption. Notably, Portugal was one of the mild losers, while Ireland emerged as a clear winner.
July 9, 2022
This paper studies the effect of monetary policy across households of different Euro Area countries to understand the effects of the likely scenario of future interest rate hikes by the European Central Bank. Specifically, the paper studies mechanisms through which monetary policy may differentially affect households across the Euro Area.
The rise in interest rates should be especially relevant to those countries with high debt levels, like Greece, Portugal, Italy and Spain.
October 26, 2021
In recent years, inequality has attracted a great deal of attention in monetary policy circles. A growing strand of the macroeconomic literature suggests that monetary policy is not immune to redistributive consequences, despite inequality not being an explicit target of its actions. The bulk of this debate centers around the relationship between monetary policy and asset prices, yet labor income represents a major source of inequality, and its relationship with monetary policy remains unexplored.