Timely and accurate data are key to the preparation of macro-prudential policy recommendations and decisions by the ESRB, as well as to monitoring policy decisions in terms of their impact on, or transmission to, the financial and non-financial economy. This paper illustrates the work that has...

This paper presents the methodological and statistical framework for macro-prudential analysis of the financial condition of the EU banking sector that has been adopted by the European System of Central Banks (ESCB). The framework is also a central component of broader financial stability...

The quantity theory of money predicts a positive relationship between monetary growth and inflation over long-run horizons. However, in the short-run, transitory shocks to either money or inflation can obscure the inflationary signal stemming from money. The spectral analysis of time series...

The present paper analyses currency in circulation in the euro area since the beginning of the 1980s. After a comprehensive literature review on this topic we present some stylised facts on currency holdings in the euro area countries as well as at an aggregate euro area level. The next chapter...

This paper investigates the financing conditions of non-financial corporations in theeuro area. We develop a new firm classification based on micro data by distinguishingbetween three groups of firms: unconstrained, relatively and absolutely constrainedfirms. We also provide further evidence on...

We test whether firms with a single bank are better shielded from loss of credit and investment cutsin periods of adverse cash flow shocks than firms with multiple bank relationships. Our estimatesof the cash flow sensitivity of investment show that both types of firms are equally subject...

Volatilities implied from interest rate swaptions are used to assess the size and thesign of the compensation for volatility risk, for dollar, euro and pound rates at a dailyfrequency, between October 1998 and August 2006. The measurement of the volatilityrisk premium rests on a simple model...

We study both theoretically and empirically the interdependence of lending decisions in differentcountry branches of a multinational bank. First, we model a bank that delegates the management of itsforeign unit to a local manager with non-transferable skills. The bank differs from other...

We analyze the interlinkages between foreign direct investment (FDI) and foreignportfolio investment (FPI) between Germany and the major economies. First, we show thatTobin’s q helps explaining the variation of the growth rate of the stock of FDI. Second, weshow that foreign and the home stock...

This paper presents new evidence on the patterns of price and wage adjustment inEuropean firms and on the extent of nominal rigidities. It uses a unique dataset collectedthrough a firm-level survey conducted in a broad range of countries and covering varioussectors. Several conclusions are drawn...