Since 2014 the ECB has implemented a massive expansion of monetary policy including large-scale asset purchases and negative policy rates. As the euro area economy has improved and inflation has risen, questions concerning the future normalization of monetary policy are starting to dominate the...

Research with Keynesian-style models has emphasized the importance of the output gap for policies aimed at controlling inflation while declaring monetary aggregates largely irrelevant. Critics, however, have argued that these models need to be modified to account for observed money growth and...

This chapter aims to provide a hands-on approach to New Keynesian models and their uses for macroeconomic policy analysis. It starts by reviewing the origins of the New Keynesian approach, the key model ingredients and representative models. Building blocks of current-generation dynamic...

The current debate on monetary and fiscal policy is heavily influenced by estimates of the equilibrium real interest rate. In particular, this concerns estimates derived from a simple aggregate demand and Phillips curve model with time-varying components as proposed by Laubach and Williams...

Die anhaltend gute konjunkturelle Lage in Deutschland scheint die Politik in trügerischer Sicherheit zu wiegen. In der vergangenen Legislaturperiode konnte man den Eindruck gewinnen, dass die Verteilung des Erwirtschafteten stärker im Vordergrund steht als die Steigerung des Wohlstands. Und...

Der fortschreitende Digitalisierungsprozess führt zu grundlegenden Veränderungen im wirtschaftlichen und gesellschaftlichen Zusammenleben. Der digitale Wandel erzeugt mit seinen Innovationen zahlreiche Vorteile für Verbraucher und Produzenten, gleichwohl werden etablierte Geschäftsmodelle...