Do Euro area countries respond asymmetrically to the common monetary policy?

Matteo Barigozzi, Antonio Conti and Matteo Luciani

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: We investigate the possible existence of asymmetries among Euro Area countries reactions to the European Central Bank monetary policy. Our analysis is based on a Structural Dynamic Factor model estimated on a large panel of quarterly variables including data on the aggregate Euro Area, as well as country-specific key economic variables. We find that member states react asymmetrically in terms of prices and unemployment, while no difference appears in terms of output. These results seem to be the consequence of structural local socio-economic factors, rather than of European Central Bank policies.

Keywords: monetary policy transmission; asymmetric effects; European Monetary Union; structural dynamic factor model (search for similar items in EconPapers)
JEL-codes: C32 E41 E52 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2012-01-31
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://eprints.lse.ac.uk/43344/ Open access version. (application/pdf)

Related works:
Journal Article: Do Euro Area Countries Respond Asymmetrically to the Common Monetary Policy? (2014)
Working Paper: Do euro area countries respond asymmetrically to the common monetary policy? (2013)
Working Paper: Do Euro Area Countries Respond Asymmetrically to the Common Monetary Policy? (2013)
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:ehl:lserod:43344

Access Statistics for this paper

More papers in LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library LSE Library Portugal Street London, WC2A 2HD, U.K.. Contact information at EDIRC.
Bibliographic data for series maintained by LSERO Manager ().