@techreport{Ruth2004Interest,
abstract = {As of today, estimating interest rate reaction functions for the Euro Area is
hampered by the short time span since the conduct of a single monetary
policy. In this paper we circumvent the common use of aggregated data before
1999 by estimating interest rate reaction functions based on a panel including
actual EMU Member States. We find that exploiting the cross-section dimen-
sion of a multi-country panel and accounting for cross-country heterogeneity in
advance of the single monetary policy pays off with regard to the estimated
reaction functions' ability to describe actual interest rate dynamics. We retrieve a
panel reaction function which is demonstrated to be a valuable tool for evaluating
episodes of monetary policy since 1999.},
author = {Karsten Ruth},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {E43; E58; C33; 330; Monetary Policy; Reaction Function; Euro Area; Panel Data; Zinspolitik; Geldpolitik; Reaktionsfunktion; Panel; Europ\"{a}ische Wirtschafts- und W\"{a}hrungsunion; Sch\"{a}tzung; EU-Staaten},
language = {eng},
number = {2004,33},
title = {Interest rate reaction functions for the euro area Evidence from panel data analysis},
type = {Discussion paper Series 1 / Volkswirtschaftliches Forschungszentrum der Deutschen Bundesbank},
url = {http://hdl.handle.net/10419/19500},
year = {2004}
}
