Belke, Ansgar; Gros, Daniel:
CESifo (Hrsg.):
Asymmetries in the Trans-Atlantic Monetary Policy Relationship : Does the ECB follow the FED?
München, 2005
(CESifo Working Papers ; 1428)
2005Working PaperOA Platin
Wirtschaftswissenschaften
Titel in Englisch:
Asymmetries in the Trans-Atlantic Monetary Policy Relationship : Does the ECB follow the FED?
Autor*in:
Belke, AnsgarUDE
GND
113316771
LSF ID
47861
ORCID
0000-0002-9743-4758ORCID iD
Sonstiges
der Hochschule zugeordnete*r Autor*in
;
Gros, Daniel
Herausgeber*in:
CESifo
Erscheinungsort:
München
Erscheinungsjahr:
2005
Open Access?:
OA Platin
Umfang:
39 Seiten
Handle
ZDB ID
Sprache des Textes:
Englisch

Abstract in Englisch:

The belief that the ECB follows the US Federal Reserve in setting its policy is so entrenched with market participants and commentators that the search for empirical support would seem to be a trivial task. However, this is not the case. We find that the ECB is indeed often influenced by the Fed, but the reverse is true at least as often if one considers longer sample periods. There is empirically little support for the proposition that there has been for a long time a systematic asymmetric leader-follower relationship between the ECB and the Fed. Only after September 2001 is there more evidence of such an asymmetry. We also find a clear-cut structural break between the pre-EMU and the EMU period in terms of the relationship between short term interest rates on both sides of the Atlantic.