E-Book Overview
The creation of a single monetary currency and a single monetary policy in the euro area has faced extraordinary challenges, among them the design of suitable monetary policy instruments. This book evaluates monetary policy instruments of the Eurosystem against a number of requirements. For doing so, a theoretical model framework is developed which brings together the monetary policy activities of a central bank and the liquidity management of banks considering the main characteristics and institutional features of the euro area. Main results of this analysis are that different costs of obtaining liquidity directly from the central bank can explain the existence of an interbank market in the euro area and the positive spread between the interbank market rate and the repo rate; that the redesign of the Eurosystem’s instruments in 2004 has to be evaluated positively and that a further change to the minimum reserve system would enhance the flexibility of monetary policy in the euro area.
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The Design of the Eurosystem’s Monetary Policy Instruments Contributions to Economics www.springer.com/series/1262 Further volumes of this series can be found at our homepage. Sardar M. N. Islam Empirical Finance 2004. ISBN 978-3-7908-1551-1 Marco Neuhaus The Impact of FDI on Economic Growth 2006. ISBN 978-3-7908-1734-8 Jan-Egbert Sturm/Timo Wollmershäuser (Eds.) Ifo Survey Data in Business Cycle and Monetary Policy Analysis 2005. ISBN 978-3-7908-0174-3 Nicola Jentzsch The Economics and Regulation of Financial Privacy 2006. ISBN 978-3-7908-1737-9 Bernard Michael Gilroy/Thomas Gries/ Willem A. Naudé (Eds.) Multinational Enterprises, Foreign Direct Investment and Growth in Africa 2005. ISBN 978-3-7908-0276-4 Günter S. Heiduk/Kar-yiu Wong (Eds.) WTO and World Trade 2005. ISBN 978-3-7908-1579-5 Emilio Colombo/Luca Stanca Financial Market Imperfections and Corporate Decisions 2006. ISBN 978-3-7908-1581-8 Birgit Mattil Pension Systems 2006. ISBN 978-3-7908-1675-4 Francesco C. Billari/Thomas Fent/ Alexia Prskawetz/Jürgen Scheffran (Eds.) Agent-Based Computational Modelling 2006. ISBN 978-3-7908-1640-2 Kerstin Press A Life Cycle for Clusters? 2006. ISBN 978-3-7908-1710-2 Russel Cooper/Gary Madden/ Ashley Lloyd/Michael Schipp (Eds.) The Economics of Online Markets and ICT Networks 2006. ISBN 978-3-7908-1706-5 Renato Giannetti/Michelangelo Vasta (Eds.) Evolution of Italian Enterprises in the 20th Century 2006. ISBN 978-3-7908-1711-9 Ralph Setzer The Politics of Exchange Rates in Developing Countries 2006. ISBN 978-3-7908-1715-7 Dora Borbély Trade Specialization in the Enlarged European Union 2006. ISBN 978-3-7908-1704-1 Iris A. Hauswirth Effective and Efficient Organisations? 2006. ISBN 978-3-7908-1730-0 Klaus Winkler Negotiations with Asymmetrical Distribution of Power 2006. ISBN 978-3-7908-1743-0 Sasha Tsenkova, Zorica Nedovi´c-Budi´c (Eds.) The Urban Mosaic of Post-Socialist Europe 2006. ISBN 978-3-7908-1726-3 Brigitte Preissl/Jürgen Müller (Eds.) Governance of Communication Networks 2006. ISBN 978-3-7908-1745-4 Lei Delsen/Derek Bosworth/Hermann Groß/ Rafael Muñoz de Bustillo y Llorente (Eds.) Operating Hours and Working Times 2006. ISBN 978-3-7908-1759-1 Pablo Coto-Millán; Vicente Inglada (Eds.) Essays on Transport Economics 2006. ISBN 978-3-7908-1764-5 Christian H. Fahrholz New Political Economy of Exchange Rate Policies and the Enlargement of the Eurozone 2006. ISBN 978-3-7908-1761-4 Sandra Gruescu Population Ageing and Economic Growth 2007. ISBN 978-3-7908-1905-2 Patrick S. Renz Project Governance 2007. ISBN 978-3-7908-1926-7 Christian Schabbel The Value Chain of Foreign Aid 2007. ISBN 978-3-7908-1931-1 Martina Eckardt Insurance Intermediation 2007. ISBN 978-3-7908-1939-7 George M. Korres (Ed.) Regionalisation, Growth, and Economic Integration 2007. ISBN 978-3-7908-1924-3 Kersti