TY  - UNPD
A1  - Silvestrini, Andrea
A1  - Zaghini, Andrea
T1  - Financial shocks and the real economy in a nonlinear world: from theory to estimation
T2  - Center for Financial Studies (Frankfurt am Main): CFS working paper series ; No. 505
N2  - We examine the inter-linkages between financial factors and real economic activity. We review the main theoretical approaches that allow financial frictions to be embedded into general equilibrium models. We outline, from a policy perspective, the most recent empirical papers focusing on the propagation of exogenous shocks to the economy, with a particular emphasis on works dealing with time variation of parameters and other types of nonlinearities. We then present an application to the analysis of the changing transmission of financial shocks in the euro area. Results show that the effects of a financial shock are time-varying and contingent on the state of the economy. They are of negligible importance in normal times but they greatly matter in conditions of stress.
T3  - CFS working paper series - 505 
Y1  - 2015
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/38247
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-382471
UR  - http://ssrn.com/abstract=2618420
PB  - Center for Financial Studies
CY  - Frankfurt, M.
ER  -