Abstract

BARROS-CAMPELLO, Esther; PATEIRO-RODRIGUEZ, Carlos  and  SALCINES-CRISTAL, J. Venancio. Is There Any Evidence of Asymmetries in the Management of the Monetary Policy by the European Central Bank? (1999-2014). El trimestre econ [online]. 2016, vol.83, n.331, pp.537-564. ISSN 2448-718X.  https://doi.org/10.20430/ete.v83i331.210.

The main goal of this paper is to detect an asymmetric behaviour in the management of the European Central Bank (ECB) since the beginning of its mandate until 2014. The methodology used is twofold. This paper estimates by the generalized method of moments (GMM) an optimal monetary policy rule and a rule including dummy variables which can detect the presence of asymmetries. The crisis in the euro-zone and the liquidity problems caused the implementation of nonconventional policy measures from 2008. Our results show a) asymmetries in the interest rate-setting behaviour of ECB and b) changes in the monetary policy decisions to enhance economic growth.

Keywords : central bank; monetary rules; asymmetries; inflation.