The objective of this paper is to identify empirically the logic behind short-term interest rates setting of: 1) the monetary authorities of the 15 EU countries before the launch of the European Monetary Union (EMU) and 2) the European Central Bank (ECB) and the central banks of the non-EMU...

We examine whether and how main central banks responded to episodes of financial stress over the last three decades. We employ a new methodology for monetary policy rules estimation, which allows for time-varying response coefficients as well as corrects for endogeneity. This flexible framework...

We examine the evolution of monetary policy rules in a group of inflation targeting countries (Australia, Canada, New Zealand, Sweden and the United Kingdom) applying moment- based estimator at time-varying parameter model with endogenous regressors. Using this novel flexible framework, our main...