Optimal Macroprudential and Monetary Policy
Macroprudential regulation, credit spreads and the role of monetary policy
... type monetary pol- icy rule. More speci…cally, we evaluate optimal macroprudential and monetary policy rules in a simple framework capable of generating a negative relationship between ...
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Macroprudential and monetary policy rules: a welfare analysis
... coordinated policy welfare gains with respect to the benchmark are larger (third ...which monetary policy uses its instrument to fight against inflation and the macroprudential regulator cares ...
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Macroprudential and monetary policy rules: a welfare analysis
... coordinated policy welfare gains with respect to the benchmark are larger (third ...which monetary policy uses its instrument to fight against inflation and the macroprudential regulator cares ...
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Stability and Identification with Optimal Macroprudential Policy Rules
... of optimal rules under commitment which inform monetary ...by policy-makers is then to set a trade-o¤ between the policy rate volatility versus targeting …nancial stability, understood as ...
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Quest for robust optimal macroprudential policy (1 MB)
... of monetary policy, the Talyor rule has become a standard approach to model monetary reaction functions and a large literature has studied the general equilibrium implications of having such a rule, ...
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Essays on unconventional monetary policy and macroprudential policy
... fully optimal commitment rule above performs best when the central bank has access to all information in the ...fully optimal commitment rule is less ...fully optimal commitment rule above is ...
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Macroprudential Regulation and the Role of Monetary Policy
... the policy rate, which can increase output beyond its steady state level following adverse shocks, but at the expense of higher volatility in this ...lower policy rate induces a further mitigation e¤ect on ...
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Macroprudential Regulation and the Role of Monetary Policy
... the policy rate, which can increase output beyond its steady state level following adverse shocks, but at the expense of higher volatility in this ...lower policy rate induces a further mitigation e¤ect on ...
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Incorporating Macroprudential Financial Regulation into Monetary Policy
... when policy makers make policy decisions with long ...Traditional monetary policy tools operate with lags on the real economy (Labonte ...aggressive monetary policy. This can ...
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Essays on Credit, Macroprudential Regulation, and Monetary Policy
... for macroprudential and monetary ...and monetary policy? In the second essay, we develop a quantitative New Keynesian DSGE model for the euro area and estimate the model with full-information ...
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Optimal monetary and macroprudential policies under risk taking environment
... and macroprudential policy (CAR and LTV only) alone is not enough to control risk taking ...macroprudetial policy (LTV+CAR) produces a gain efficiency, because the LTV and CAR policies affect ...
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Global Banking and the Conduct of Macroprudential Policy in a Monetary Union
... coordinated macroprudential measures based on Countercyclical Capital ...of macroprudential policy directly impacts the marginal cost of loan production and, by so, financial ...up ...
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Macroprudential regulation, credit spreads and the role of monetary policy
... Similar to credit shocks, countercyclical bank capital regulation has an important role in reduc- ing welfare losses. Nevertheless, and unlike credit shocks, an optimal very aggressive countercyclical regulatory ...
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Marrying Monetary Policy with Macroprudential Regulation: Exploration of Issues
... regulatory policy in addition to interest rate, while welfare-enhancing for trivial reasons, is subject to a number of ...the policy tools remain blunt, the optimal combination of multiple ...
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Financial Stability and Monetary Policy: The Effects of Macroprudential Policy Instruments on the Goals of Monetary Policy and a Discussion of the Interaction of Instruments
... the optimal policy for mitigating boom-bust ...comparing policy rate rules they find that a strict inflation targeting policy rule is severely suboptimal to a more moderate policy ...
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Monetary and Macroprudential Policy in an Estimated DSGE Model of the Euro Area
... using monetary or macroprudential ...di¤erent policy regimes. In all cases, we assume that the optimal policy aims at maximizing the welfare of all households in the EMU by maximizing ...
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Macroprudential Rules and Monetary Policy when Financial Frictions Matter
... the macroprudential tool will reduce welfare if the economy is only subject to a technology ...that policy-makers adopt the policy rule that is optimal in the presence of a financial shock, ...
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Monetary policy and macroprudential policy: new evidence from a world panel of countries.
... allow policy makers to align explicitly the horizon of the inflation forecast and the control lag for monetary ...countries, policy makers do not have access to inflation or output data of the ...
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A Stylized model of European Monetary Union for Analysing coordination games for Monetary and Macroprudential Policy
... a policy that effectively subsidizes lending by financial intermediaries; however this issue is not tackled in this ...designing optimal rules, and also evaluates the gains and losses from including an ...
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The new financial regulation in Basel III and monetary policy: A macroprudential approach
... 2.7 Monetary Policy and the Countercyclical Bu¤er In the standard new Keynesian model, the central bank aims at minimizing the variability of output and in‡ation to reduce the distortion introduced by ...
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