期刊名称：Euro Area Balance of Payments and International Investment Position Statistics
印刷版ISSN：1830-3420
电子版ISSN：1830-3439
出版年度：2016
出版社：European Central Bank
摘要：We incorporate financial linkages in EAGLE, a New Keynesian multi-country dynamic generalequilibrium model of the euro area (EA) by including financial frictions and country-specificbanking sectors. In this new version of the model, termed EAGLE-FLI (Euro Area and GLobalEconomy with Financial LInkages), banks collect deposits from domestic households and cross-country interbank market and raise capital to finance loans issued to domestic households andfirms. In order to borrow from local (regional) banks, households use domestic real estate ascollateral whereas firms use both domestic real estate and physical capital. These features – to-gether with the full characterization of trade balance and real exchange rate dynamics and witha rich array of financial shocks – allow to properly assess domestic and cross-country macroe-conomic effects of financial shocks. Our results support the views that (1) the business cyclesin the EA can be driven not only by real shocks, but also by financial shocks, (2) the financialsector can amplify the transmission of (real) shocks, and (3) the financial/banking shocks andthe banking sectors can be sources of business cycle asymmetries and spillovers across countriesin a monetary union.
