We embed human capital-based endogenous growth into a New-Keynesian model with search and matching frictions in the labor market and skill obsolescence

In this paper, we exploit exogenous variation in navigability of the Rhine river to analyze the impact of weather-related supply shocks on economic acti

Volkswirtschaften spezialisieren sich typischerweise entlang ihrer komparativen Vorteile auf die Produktion bestimmter Güter. Dadurch können sie Vorte

Business investment in the euro area strongly declined during the Global Financial Crisis and the Sovereign Debt Crisis. It has not yet rebounded to its pre-crisis trend despite the very expansionary monetary policy measures of the ECB. We analyze...

We study the forecasting performance of three alternative large data forecasting approaches. These three approaches handle the dimensionality problem ev

This paper illustrates, based on an example, the importance of consistency between empirical measurement and the concept of variables in estimated macroeconomic models. Since standard New Keynesian models do not account for demographic trends and...

The standard search model of unemployment predicts, under realistic assumptions about household preferences, that disembodied technological progress leads to higher steady-state unemployment. This prediction is at odds with the 1970s experience of...

The ECB has adopted a variety of unconventional monetary policy measures since the Global Financial Crisis. In this paper, we assess the effectiveness of unconventional monetary policy measures based on a review of the empirical literature and on...

KBW 12: The trend decline of productivity growth in Germany is not due to a single cause but is the result of the interplay of multiple factors with time-varying relative importance.

We document that growth forecasts of professional forecasters in advanced economies exhibit systematic errors and analyze how these errors depend on the business cycle state. Forecasters, on average, overestimate GDP growth in our full sample. This...