We study how short-term interest rate volatility affects the transmission of monetary policy. To identify exogenous changes in volatility, we exploit the pronounced heteroskedasticity visible in the time-series of euro area short-term rates over the past two and a half decades. Interacting the exogenous variation in volatility with high-frequency-identified monetary policy shocks, we find that increases in volatility dampen the effects of monetary policy on output and prices.

The media offensive launched last week to promote the latest rise in the new minimum wage in Greece clashed with the latest data released by Eurostat concerning per capita GDP in the EU in purchasing power terms (PPP), which placed Greece second from bottom.

Pakistan’s Meezan Bank is the country’s most profitable bank. How?

Case involving murder of Brian Thompson has unleashed fraught debates over country’s for-profit healthcare