Media Treatment of Monetary Policy Surprises and Their Impact on Firms' and Consumers' Expectations

Julien Pinter and Evžen Kočenda

Journal of Money, Credit and Banking, 2025, vol. 57, issue 7, 1793-1842

Abstract: We investigate whether monetary policy announcements affect firms' and consumers' expectations by considering their media treatment. We initially use standard monetary policy surprise measures and analyze how the main general newspapers in France report on the announcements. Eighty‐five percent of the monetary policy surprises are either not associated with the newspapers reporting a change in the monetary policy stance or have a sign inconsistent with the media report. Only when we consider media‐consistent monetary policy surprises do we find that consumers and firms respond to monetary policy announcements. The economic tonality of the media reports drives the sign of consumers' response.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/jmcb.13096

Related works:
Working Paper: Media Treatment of Monetary Policy Surprises and Their Impact on Firms’ and Consumers’ Expectations (2023)
Working Paper: Media Treatment of Monetary Policy Surprises and Their Impact on Firms' and Consumers' Expectations (2021)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wly:jmoncb:v:57:y:2025:i:7:p:1793-1842

Access Statistics for this article

Journal of Money, Credit and Banking is currently edited by Robert deYoung, Paul Evans, Pok-Sang Lam and Kenneth D. West

More articles in Journal of Money, Credit and Banking from Blackwell Publishing
Bibliographic data for series maintained by Wiley Content Delivery ().