THE ROLE OF HOUSE PRICES IN THE MONETARY TRANSMISSION MECHANISM ACROSS EUROPEAN COUNTRIES

摘要: This paper provides a discussion of the ‘housing market’ channels monetary transmission mechanism and offers some evidence institutional differences in European housing mortgage markets. Using number Vector Autoregressive models, estimated individually for nine countries over pre-EMU period, we find that house prices are significantly affected by interest rate shocks. The relative role these interest-rate-induced fluctuations private consumption is then investigated. We show may enhance effects shocks on consumer spending those economies where markets relatively more developed competitive.