The ESCB forecasting models: what are they and what are they good for?

This report provides a comprehensive overview of the models and tools used for macroeconomic projections within the European System of Central Banks (ESCB). These include semi-structural models, dynamic stochastic general equilibrium (DSGE) models, time series models and specialised satellite models tailored to particular questions or country-specific aspects. Each type of model has its own strengths and weaknesses and can help answer different questions. The models should therefore be seen as complementary rather than mutually exclusive.

Google plans to power a new data center with fossil fuels, yet release almost no emissions – here’s how its carbon capture tech works

Carbon capture and storage projects capture carbon dioxide emissions from industrial facilities and power plants and pipe them underground to geological formations. Nopphinan/iStock/Getty Images PlusAs AI data centers spring up across the country, their energy demand and resulting greenhouse gas emissions are raising concerns.

Insurance companies in the Euro area: asset allocation and impact on financial markets

Euro area insurers manage several trillion euro in assets and take a long-term investment perspective. They hold more alternative and less liquid assets than in the past, partly resulting from the long period of low interest rates until 2022. As a result, their balance sheets have become less liquid and more sensitive to market conditions overall. Meanwhile their holdings of sovereign bonds show significant home bias, which may have even increased with quantitative easing policies.

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