Stabilising market expectations through a market tool: a proposal for an enhanced TPI

IF 2.8 4区 经济学 Q1 ECONOMICS Economia Politica Pub Date : 2023-05-13 DOI:10.1007/s40888-023-00302-1
Massimo Amato, Everardo Belloni, Carlo A. Favero, Lucio Gobbi, Francesco Saraceno
{"title":"Stabilising market expectations through a market tool: a proposal for an enhanced TPI","authors":"Massimo Amato, Everardo Belloni, Carlo A. Favero, Lucio Gobbi, Francesco Saraceno","doi":"10.1007/s40888-023-00302-1","DOIUrl":null,"url":null,"abstract":"Abstract This paper puts forward a proposal to complete the ECB Transmission Protection Instrument (TPI) with the aim of making it more effective in anchoring the yields of European sovereign debts to Member States’ fundamentals. We use a model in which yields fluctuate within bands, which we specify following two alternative approaches: stochastic and deterministic. The resulting fluctuation's interval represents the range of yields that can be seen as justified by Member States’ fundamentals; yields outside the band would instead trigger the ECB intervention as foreseen by the TPI. The proposal minimizes the risk of moral hazard, as the fluctuation bands vary as each country's creditworthiness changes. Moreover, the proposal is directly implementable with existing Treaties.","PeriodicalId":44858,"journal":{"name":"Economia Politica","volume":"28 1","pages":"0"},"PeriodicalIF":2.8000,"publicationDate":"2023-05-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Economia Politica","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.1007/s40888-023-00302-1","RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"ECONOMICS","Score":null,"Total":0}
引用次数: 0

Abstract

Abstract This paper puts forward a proposal to complete the ECB Transmission Protection Instrument (TPI) with the aim of making it more effective in anchoring the yields of European sovereign debts to Member States’ fundamentals. We use a model in which yields fluctuate within bands, which we specify following two alternative approaches: stochastic and deterministic. The resulting fluctuation's interval represents the range of yields that can be seen as justified by Member States’ fundamentals; yields outside the band would instead trigger the ECB intervention as foreseen by the TPI. The proposal minimizes the risk of moral hazard, as the fluctuation bands vary as each country's creditworthiness changes. Moreover, the proposal is directly implementable with existing Treaties.

Abstract Image

查看原文
分享 分享
微信好友 朋友圈 QQ好友 复制链接
本刊更多论文
通过市场工具稳定市场预期:提高TPI的建议
摘要本文提出了完善欧洲央行传导保护工具(TPI)的建议,旨在使其更有效地将欧洲主权债务的收益率锚定在成员国的基本面上。我们使用收益率在区间内波动的模型,我们指定以下两种替代方法:随机和确定性。由此产生的波动间隔代表了从会员国的基本情况来看是合理的收益范围;相反,区间外的收益率将触发欧洲央行的干预,正如TPI所预测的那样。该提议最大限度地降低了道德风险,因为波动幅度会随着每个国家信誉的变化而变化。此外,该建议可与现有条约直接执行。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
求助全文
约1分钟内获得全文 去求助
来源期刊
Economia Politica
Economia Politica ECONOMICS-
CiteScore
3.90
自引率
5.60%
发文量
34
期刊介绍: This journal publishes peer-reviewed articles that link theory and analysis in political economy, promoting a deeper understanding of economic realities and more effective courses of policy action. Established in 1984, the journal has kept pace with the times in disseminating high-quality and influential research aimed at establishing fruitful links between theories, approaches and institutions. With this relaunch (which combines Springer’s worldwide scientific scope with the Italian cultural roots of il Mulino and Fondazione Edison, whose research has been published by the two mentioned publishers for many years), the journal further reinforces its position in the European and international economic debate and scientific community. Furthermore, this move increases its pluralistic attention to the role that – at the micro, sectoral, and macro level – institutions and innovation play in the unfolding of economic change at different stages of development.
期刊最新文献
Political economy of immigration policy: direct versus indirect political influence Induced innovation, the distributive cycle, and the changing pattern of labour productivity cyclicality: an SVAR analysis for the US economy How well do couples know their partners’ preferences? Experimental evidence from joint recreation The role of tourism in reducing economic inequalities: the case of Italy Education-Job mismatch, earnings and worker’s satisfaction in African labor market: evidence from Cameroon
×
引用
GB/T 7714-2015
复制
MLA
复制
APA
复制
导出至
BibTeX EndNote RefMan NoteFirst NoteExpress
×
×
提示
您的信息不完整,为了账户安全,请先补充。
现在去补充
×
提示
您因"违规操作"
具体请查看互助需知
我知道了
×
提示
现在去查看 取消
×
提示
确定
0
微信
客服QQ
Book学术公众号 扫码关注我们
反馈
×
意见反馈
请填写您的意见或建议
请填写您的手机或邮箱
已复制链接
已复制链接
快去分享给好友吧!
我知道了
×
扫码分享
扫码分享
Book学术官方微信
Book学术文献互助
Book学术文献互助群
群 号:481959085
Book学术
文献互助 智能选刊 最新文献 互助须知 联系我们:info@booksci.cn
Book学术提供免费学术资源搜索服务,方便国内外学者检索中英文文献。致力于提供最便捷和优质的服务体验。
Copyright © 2023 Book学术 All rights reserved.
ghs 京公网安备 11010802042870号 京ICP备2023020795号-1