ECB paper on central banking operations

A new paper from the European Central Bank models bidding behaviour in central bank open market operations. The study tries to improve understanding of the incentives that have shaped bidding conducted since June 2000 in auctions with a discriminatory pricing rule. The authors conclude that while the ECB's practice of accepting less liquid collateral than secondary markets may increase demand for central bank money, strategic bid shading acts against the price effect. This may provide an

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: