Finnish paper presents two explanations for eurozone weakness
A paper published in the Bank of Finland’s Economic Review presents two contrasting explanations for the current weak state of demand in the eurozone.
In Two tales of the natural rate of interest, Lauri Vilmi uses two specifications of a “simple semi-structural macroeconomic model” to estimate the eurozone’s long-term natural rate of interest.
In the first estimation, the author says, the key factor is “persistent, recurring negative shocks to the output gap that restrain growth even when
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 info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe
You are currently unable to print this content. Please contact info@centralbanking.com to find out more.
You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com
More on Economics
Banknotes: April to June 2023
A round-up of news and salient issues that have affected central bankers in the past three months
Subsidies could cut net zero transition costs, BdF paper finds
Using carbon tax revenues to fund new technologies would almost halve GDP loss, researchers say
ECB paper estimates inflationary effects of climate change
Rising temperatures are having persistent effects on prices, especially for food
Financial security of US households ‘fell sharply’ in 2022
Inflation comes first in list of financial worries, Fed survey finds
ECB paper suggests faster methods for estimating eurozone employment
Nowcasting tools outperform models currently used by ECB, researchers say
Extended QE creates pessimistic sentiment – Bank of Canada paper
News and social media “significantly” impact market sentiment, researchers say
Book notes: Money and the rule of law, by Peter Boettke, Alexander Salter and Daniel Smith
A largely US-focused book, which hankers for more robust rules for central banks but isn’t explicit as to what kind
Asset purchases stopped mutual fund crisis, ECB paper finds
ECB’s emergency purchases in Covid-19 pandemic prevented asset fire-sale spiral