Uncertainty and the Real Effects of Monetary Policy Shocks in the Euro Area
Author | : Giovanni Pellegrino |
Publisher | : |
Total Pages | : 16 |
Release | : 2017 |
ISBN-10 | : OCLC:1305170694 |
ISBN-13 | : |
Rating | : 4/5 ( Downloads) |
Download or read book Uncertainty and the Real Effects of Monetary Policy Shocks in the Euro Area written by Giovanni Pellegrino and published by . This book was released on 2017 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper estimates a nonlinear Interacted-VAR model to investigate whether the effectiveness of monetary policy shocks in the Euro area is influenced by the level of European uncertainty. Generalized Impulse Response Functions à la Koop et al. (1996) suggest that the peak and cumulative effects of monetary policy shocks are lower during uncertain times than during tranquil times, and significantly so once times of very high and very low uncertainty are considered.