This Time is Different: The PEPP Might Not Work in a Sectoral Recession
Eingehende Analyse
30-09-2020
The COVID-19 recession is different from previous downturns because it originates in demand and supply disturbances which are highly specific to certain sectors (contact-intensive services). This sectoral nature renders aggregate demand policies, including monetary policy, much less effective. The PEPP was essential to prevent a financial crisis in the Spring of 2020; but there is no need to increase its size. In a sectoral recession, one should not expect much impact from central bank bond buying on inflation. This document was provided by Policy Department A at the request of the Committee on Economic and Monetary Affairs (ECON).
Eingehende Analyse
Externe Autor
Angela CAPOLONGO, Daniel GROS
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- Ausschuss EP
- BILDUNG UND KOMMUNIKATION
- Coronavirus-Erkrankung
- Dokumentation
- einheitliche Währungspolitik
- Epidemie
- Eurogroup (Euro-Zone)
- EUROPÄISCHE UNION
- Europäische Zentralbank
- FINANZWESEN
- Forschungsbericht
- Geldwirtschaft
- Gesundheit
- INDUSTRIE
- Industriepolitik der EU
- Industriepolitik und Industriestruktur
- Institutionen der Europäischen Union und Europäischer Öffentlicher Dienst
- konjunkturelle Erholung
- Rezession
- SOZIALE FRAGEN
- WIRTSCHAFT
- wirtschaftliche Auswirkung
- Wirtschaftsanalyse
- Wirtschaftssituation
- Währungsbeziehungen