A new version of this entry is available:

Loading...
Thumbnail Image
ResearchPaper
2010

Asset prices, inflation and monetary control

re-inventing money as a policy tool

Abstract (English)

Low inflation on goods markets provides no reliable precondition for asset-market stability; it might even promote the emergence of bubbles because interest rates and risk premia appear to be low. A further factor driving asset demand is easy availability of credit, which in turn roots in the banking system operating in a regime of endogenous central-bank money. A comparison of Bundesbank and ECB policies suggests that credit growth can be controlled more efficiently if rising interest rates are accompanied by some liquidity squeeze that supports the spillover of a monetary restriction to capital markets. The announcement effect of a central bank Charter including the goal of financial-market stability helps to deter private agents from excessive asset trading.

File is subject to an embargo until

This is a correction to:

A correction to this entry is available:

This is a new version of:

Other version

Notes

Publication license

Publication series

Hohenheimer Diskussionsbeiträge; 323

Published in

Other version

Faculty

Faculty of Business, Economics and Social Sciences

Institute

Institut für Volkswirtschaftslehre (bis 2010)

Examination date

Supervisor

Cite this publication

Spahn, P. (2010). Asset prices, inflation and monetary control : re-inventing money as a policy tool. https://hohpublica.uni-hohenheim.de/handle/123456789/5377

Edition / version

Citation

DOI

ISSN

ISBN

Language

English

Publisher

Publisher place

Classification (DDC)

330 Economics

Original object

University bibliography

Standardized keywords (GND)

Sustainable Development Goals

BibTeX

@techreport{Spahn2010, url = {https://hohpublica.uni-hohenheim.de/handle/123456789/5377}, author = {Spahn, Peter}, title = {Asset prices, inflation and monetary control : re-inventing money as a policy tool}, year = {2010}, school = {Universität Hohenheim}, series = {Hohenheimer Diskussionsbeiträge}, }

Share this publication