The Monetary Policy of the European Central Bank
The first six years of ECB monetary policy are examined using a general framework that allows central bankers to weight differently positive and negative deviations of inflation, output and the interest rate from their reference values. The empirical analysis on synthetic euro-area data suggests that the objective of price stability is symmetric, whereas the objectives of real activity and interest-rate stabilizations are not. Output contractions imply larger policy responses than output expansions of the same size, while movements in the interest rate are larger when the "level" of the interest rate is relatively high. The hypothesis of M3 growth-rate targeting is rejected. Copyright The editors of the "Scandinavian Journal of Economics" 2007 .
Volume (Year): 109 (2007)
Issue (Month): 1 (03)
|Contact details of provider:|| Web page: http://onlinelibrary.wiley.com/journal/10.1111/(ISSN)1467-9442|
|Order Information:||Web: http://www.blackwellpublishing.com/subs.asp?ref=0347-0520|
When requesting a correction, please mention this item's handle: RePEc:bla:scandj:v:109:y:2007:i:1:p:115-135. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing)or (Christopher F. Baum)
If references are entirely missing, you can add them using this form.