We shed new light on the effects of monetary policy shocks in the US. Gertler and Karadi (2015) suggest that movements in credit costs may result in substantial impact of monetary policy shocks on economic activity. Using the proxy SVAR framework, we show that once the Volcker disinflation...

In this paper we provide new insights on the dynamics between monetary policy shocks and real exchange rates in small open economies using a time-varying structural vector autoregression model with stochastic volatility. Identification is achieved using a combination of short-run and long-run...

In this paper we provide new insights on the dynamics between monetary policy shocks and realexchange rates in small open economies using a time-varying structural vector autoregressionmodel with stochastic volatility. Identification is achieved using a combination of short-runand long-run...