Monetary Policy in a World with Different Financial Systems

摘要: Major currency areas are characterized by important differences in financial structure that clear microeconomic data. Surprisingly, this fact is seldom discussed the analysis of international transmission shocks. This paper attempts to fill gap. First, I examine some stylized facts about diversity and cyclical correlations among OECD countries. Data show a negative relation between systems. Second, using two-country model with sticky prices, imperfect integration borrowing constraints on investment, calibrated US euro area data, analyze shocks different degrees fragility two economies. find, first, can account for heterogenous business cycle fluctuations reproduce found Differential responses shown occur independent monetary policies - Taylor rules or rigid inflation targets -. The result robust under economic openness correlation underlying Credible pegs help increase synchronization cycles. successful accounting facts, like output puzzle.