Monetary Policy research
Explore our research in monetary policy, one of our 4 areas of expertise in Economics
Monetary policy is a central bank's actions to influence how much money is in the economy and how much it costs to borrow, with the aim of keeping inflation low and stable. Since the financial crisis of 2007 and 2008, central banks around the world have taken extreme monetary policy measures to recover the pre-crash dynamism of their economies.
Our research focuses on how to assess the impacts of monetary policy measures on and via the financial markets, and on indicators in the economy. Additionally, it examines related fields that belong to the category of macroeconometrics.
Our research covers the following topics
- Decision-making on stock and housing market regimes
- How stock and oil markets are affected by uncertainty about macroeconomic policy
- Central banks’ economic and institutional characteristics
- The correlation between monetary policy and economic growth
- The interaction between central banks and the financial market
- Design and instruments of monetary policy
Methods
Our research includes a variety of cutting edge techniques from the area of applied macroeconometrics and financial econometrics.
Funders and publications
Our research has been funded by the Great Britain Sasakawa Foundation and the Toshiba International Foundation, and published in the Journal of International Financial Markets, Institutions and Money; Economics Letters; Journal of Economic Issues; Journal of Macroeconomics; European Journal of Finance; and the International Review of Financial Analysis.
Publication highlights
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Asset prices regime-switching and the role of inflation targeting monetary policy.
Chatziantoniou, I., Filis, G., & Floros, C. (2017). Global Finance Journal, volume 32, pages 97-112.
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Contagion testing in frontier markets under alternative stressful S&P 500 market scenarios
Mahadeo, S.M.R., Heinlein, R. & Legrenzi, G. (2022). The North American Journal of Economics and Finance, 60, p. 101629.
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Credit risk and the business cycle: what do we know?
Chortareas, G., Magkonis, G. & Zekente, K.-M. (2020). International Review of Financial Analysis, 67, p. 101421.
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High-frequency trading, liquidity withdrawal and the breakdown of conventions in foreign exchange markets
Stenfors, A., & Susai, M. (2018). Journal of Economic Issues, volume 52(2), pages 387-395.
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Inflation targeting and inflation convergence: international evidence
Arestis, P., Chortareas, G., Magkonis, G., & Moschos, D. (2014). Journal of International Financial Markets, Institutions and Money, volume 31, pages 285-295.
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Inflation-output trade-off: old measures, new determinants?
Magkonis, G., & Zekente, K-M. (2020). Journal of Macroeconomics, volume 65.
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Informal economy and central bank digital currency
Oh, E.Y. & Zhang, S. (2022). Economic Inquiry, 60(4), pages 1520–1539.
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LIBOR, foreign exchange and the illusion of liquidity
Stenfors, A. (2018). Journal of Securities Operations & Custody, volume 11(1).
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Oil and US stock market shocks: implications for Canadian equities
Heinlein, R. and Mahadeo, S.M. (2023). Canadian Journal of Economics/Revue canadienne d'économique, 56(1), pp. 247–287.
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The effect of banking supervision on central bank preferences: evidence from panel data
Chortareas, G., Logothetis, V., Magkonis, G., & Zekente, K. (2016). Economics Letters, volume 140, pages 11-13.
Events
We are pleased to announce that subject group of Economics & Finance will host the 54th MMF conference in September 2023.
Discover our areas of expertise
Monetary policy is 1 of our 4 areas of expertise in our Economics research area – explore the others below.
Resource Economics and Environmental Policy
We examine how economics influences the preservation and sustainability of natural resources such as aquatic ecosystems.
Behavioural and Experimental Economics
We investigate how psychological, emotional and social factors affect economic decision-making.
Efficiency and Productivity
Through our research in this area, we're identifying inefficiency and its causes in specific sectors.
Research groups
Unconventional Petroleum Reservoirs Analysis Recovery Risk-Uncertainty and Economics Research Group
Our members
Interested in a PhD in Economics
Browse our postgraduate research degrees - including PhDs and MPhils - at our Economics postgraduate research degrees page.