Monetary Policy Transmission in the Euro Area: A Study by the Eurosystem Monetary Transmission Network

Cambridge University Press
Edition: Illustrated, 12/4/2003
EAN 9780521828642, ISBN10: 0521828643

Hardcover, 516 pages, 22.9 x 15.2 x 3.3 cm
Language: English

Proper conduct of monetary policy requires understanding the monetary transmission mechanism, to monitor the economy, make decisions on the stance of policy, and explain the policy actions to the public. Hence, gathering evidence on the monetary transmission mechanism in the euro area has been a priority for the Eurosystem. This 2003 book presents the results of a multi-year collaborative project conducted by the European Central Bank and the other Eurosystem central banks. First, macro data are consistently investigated with both VARs and structural models for the area as a whole and for individual countries. Second, the book contains an unprecedented set of studies on the effects of monetary policy using bank and firm panel data. The results described in country case studies and overview essays by central bank economists, along with a discussion chapter by eminent academics, provide an essential contribution to research on the subject.

Preface
Introduction
Part I. Macroeconometric Evidence on the Transmission Mechanism in the Euro Area
1. Some stylised facts on the Euro area business cycle A.-M. Agresti and B. Mojon
2. The monetary transmission mechanism in the Euro area
more evidence from VAR analysis G. Peersman and F. Smets
3. A VAR description of the effects of monetary policy in the individual countries of the Euro area B. Mojon and G. Peersman
4. Analysing monetary policy transmission mechanism at the Euro area level
using structural macroeconomic models P. McAdam and J. Morgan
5. The effects of monetary policy in the Euro area
evidence from structural macroeconomic models P. van Els, A. Locarno, J. Morgan and J.-P. Villetelle
6. Financial frictions and the monetary transmission mechanism
theory, evidence and policy implications C. Bean, J. Larsen and K. Nikolov
Part II. Firm Investment and Monetary Policy
Evidence from Micro-Economic Data
7. Firm investment and monetary policy transmission in the Euro area J. B. Chatelain, A. Generale, I. Hernando, P. Vermeulen and U. von Kalckreuth
8. Business investment and monetary transmission in Belgium P. Butzen, C. Fuss and P. Vermeulen
9. Investment and monetary transmission in Germany
a microeconometric investigation U. von Kalckreuth
10. Monetary policy and corporate investment in France J.B. Chatelain and A. Tiomo
11. Monetary policy and firms' investment in Italy E. Gaiotti and A. Generale
12. Monetary transmission
empirical evidence from Luxembourg firm-level P. Lunneman and T. Matha
13. The role of trade credit and bank lending relationships in the transmission mechanism in Austria M. Valderrama
Part III. The Role of Banks in the Transmission
Evidence from Micro-Economic Data
14. Financial systems and the role of banks in monetary policy transmission in the Euro area M. Ehrmann, L. Gambacorta, J. Martinez-Pagés, P. Sevestre and A. Worms
15. The reaction of bank lending to monetary policy measures in Germany A. Worms
16. Is there a bank lending channel of monetary policy in Spain? I. Hernando and J. Martinez-Pagés
17. Is there a bank lending channel in France? Evidence from bank panel data C. Loupias, F. Savignac and P. Sevestre
18. Is there a bank lending channel of monetary policy in Greece? Evidence from bank level data S. Brissimis, N. Kamberoglou and G. Simigiannis
19. The Italian banking system and a monetary policy transmission
evidence from bank level data L. Gambacorta
20. The impact of monetary policy on bank lending in the Netherlands L. De Haan
21. The cross-sectional and the time dimension of the bank lending channel
The Austrian case S. Kaufmann
22. The bank lending channel of monetary policy
identification and estimation using Portuguese micro bank data L. Farinha and C. Robalo Marques
23. Transmission of monetary policy shocks in Finland
evidence from bank level data on loans J. Topi and J. Vilmunen
Part IV. Monetary Policy in the Euro Area
Summary and Discussion of the Main Findings
24. Monetary policy transmission in the Euro area
where do we stand? I. Angeloni, A. Kashyap, B. Mojon and D. Terlizzese
25. Discussion B. Bernanke, X Freixas, V. Gaspar and J. von Hagen
Appendix
26. Economic and financial structure in the euro area A-M. Agresti and J. Claessens
References.