The Redistributive Effects of Monetary Policy Across Generations
Journal Title: Visnyk of the National Bank of Ukraine - Year 2018, Vol 0, Issue 244
Abstract
The paper revises the redistributive channels of monetary policy transmission and their impact on income and wealth distributions in a New-Keynesian Overlapping Generations (OLG) model. The model mimics total asset holdings and earnings processes of several types of households across generations, based on their attitude to saving and income group. In this environment, expansionary monetary shocks stimulate capital and debt accumulation to a larger extent for middle-aged individuals, contributing to intergenerational inequality. Heterogeneity of labor income augments this effect, benefitting richer and more productive workers.
Authors and Affiliations
Olga Bondarenko
Keywords
Related Articles
- EP ID EP426834
- DOI 10.26531/vnbu2018.244.03
- Views 138
- Downloads 0
Central Bank Independence and Financial Stability: Orthodox and Heterodox Approaches
Abstract This study argues that post-crisis discussions on central bank independence are less about a choice of a level of independence but more about a relation between the independence and the central bank mandate in...
Nonlinear Exchange Rate Pass-Through to Domestic Prices in Ukraine
This paper aims to estimate the degree of exchange rate pass-through (ERPT) to domestic prices in Ukraine considering nonlinearities with respect to the size and direction of exchange rate movements. We use disaggregated...
Efficiency in the Market for Financial Advisory Services to Businesses
This paper considers whether company decisions on their advisors promote efficiency in the market for business advisory services. We employ a fixed effects measure of advisor quality and find that no fine-grained measure...
Price Stability and Inflation Targeting in Commodity Economies: Macroeconomics versus a Political Economy?
In this study, the author argues that maintaining price stability in commodity economies is influenced by their resource rent distribution, and that economic stability is extremely sensitive to the nature of a political...
Nowcasting of Economic Development Indicators Using the NBU’s Business Survey Results
The article was devoted to the research of possibilities to use Business Outlook Survey results, which are carried out by National Bank of Ukraine, for the short-term forecasting of economic development, in particular, t...