Logo
Munich Personal RePEc Archive

Monetary policy in Europe vs the US: what explains the difference?

Uhlig, Harald (2007): Monetary policy in Europe vs the US: what explains the difference?

[thumbnail of MPRA_paper_14119.pdf]
Preview
PDF
MPRA_paper_14119.pdf

Download (516kB) | Preview

Abstract

This paper compares monetary policy in the US and EMU during the last decade, employing an estimated hybrid New Keynesian cash-in-advance model, driven by five shocks. It appears that the difference between the two monetary policies between 1998 and 2006 is due to both surprises in productivity as well as surprises in wage demands, moving interest rates in opposite directions in Europe and the US, but not due to a more sluggish response in Europe to the same shocks or to different monetary policy surprises.

Atom RSS 1.0 RSS 2.0

Contact us: mpra@ub.uni-muenchen.de

This repository has been built using EPrints software.

MPRA is a RePEc service hosted by Logo of the University Library LMU Munich.