Publicação
The effects of monetary policy shocks on consumption: a decomposition of the transmission channels for Portuguese households
| Resumo: | In this study I use a combination of household level data from the 2ndwave of the HFCS with high-frequency data regarding changes in asset prices during events of monetary pol-icy communication to evaluate the effects of monetary shocks on households’ consumption expenditures in Portugal. I find that wealthy Hand-to-Mouth, i.e., households that are financially constrained but possess a significant amount of illiquid wealth, are the group with the most significant reaction to a negative monetary shock. In addition, Portugal displays a high home ownership rate, a fact that correlates with housing being the strongest transmission channel. |
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| Autores principais: | Pereira, Nuno André Mendes |
| Assunto: | High frequency identification Monetary transmission Inflation Dynamicfactor models Var Monetary shock Housing Wealth distribution Heterogeneous agents Consumption |
| Ano: | 2021 |
| País: | Portugal |
| Tipo de documento: | dissertação de mestrado |
| Tipo de acesso: | acesso aberto |
| Instituição associada: | Universidade Nova de Lisboa |
| Idioma: | inglês |
| Origem: | Repositório Institucional da UNL |
| Resumo: | In this study I use a combination of household level data from the 2ndwave of the HFCS with high-frequency data regarding changes in asset prices during events of monetary pol-icy communication to evaluate the effects of monetary shocks on households’ consumption expenditures in Portugal. I find that wealthy Hand-to-Mouth, i.e., households that are financially constrained but possess a significant amount of illiquid wealth, are the group with the most significant reaction to a negative monetary shock. In addition, Portugal displays a high home ownership rate, a fact that correlates with housing being the strongest transmission channel. |
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