Housing plays growing role in transmitting ECB policy, paper finds

Labour earnings still most important means of transmission, researchers say

ecb-hq-3
The European Central Bank
Annabel Jeffery

The housing channel is playing an increasing role in transmitting eurozone monetary policy, a working paper published by the European Central Bank finds.

In Navigating the housing channel of monetary policy across euro area regions, Niccolò Battistini, Matteo Falagiarda, Angelina Hackman and Moreno Roma analyse data from 1999 to 2018. Their dataset examines 106 regions from eight eurozone countries: Germany, France, Italy, Spain, the Netherlands, Belgium, Portugal and Ireland.

They also

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