Banchieri centrali aggressivi o accomodanti: i diversi greggi sono importanti per gli shock fiscali? da ECB Research Bulletin

Banchieri centrali aggressivi o accomodanti: i diversi greggi sono importanti per gli shock fiscali? da ECB Research Bulletin

 

(...) the latest issue (No. 114) of the ECB Research Bulletin, entitled “Hawkish or dovish central bankers: do different flocks matter for fiscal shocks?”  

Lukas Hack (University of Mannheim), Klodiana Istrefi (Directorate General Research, ECB, and CEPR) and Mathias Meier (University of Mannheim) present evidence on the role that US monetary policy plays in how fiscal spending affects the economy. 

A dovish Federal Open Market Committee (FOMC) delays policy rate increases, while a hawkish FOMC tightens monetary policy more promptly, following increased fiscal spending.
The authors then show that the dovish response supports fiscal expansions.
In contrast, the hawkish response results in a GDP decline but effectively controls inflation expectations.(...)