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Monetary Policy Adjustment at the Global Financial Crisis Constraints

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  • Adina Criste

    (“Victor Slavescu” Centre for Financial and Monetary Research)

Abstract

The global financial crisis marked a border for central banks, as it raised challenges which constrained them both to extend the range of monetary policy instruments and to redefine their role in the financial system. The present paper aims to identify features of conducting the monetary policy of some central banks, during and after the global financial crisis outbreak. For that purpose, we apply to a comparative analysis between some central banks of European Union (EU), namely Czech National Bank (CNB), National Bank of Hungary (NBH), National Bank of Poland (NBP) and National Bank of Romania (NBR). We also assume that the monetary policy could be characterised through both the challenges faced by the central banks and the type of measures adopted, as a reaction to these challenges. Analysis shows that central banks have different levels of burden, according to domestic condition, and also different ”pattern” of monetary policy adjustments, using more or less unconventional or macro-prudential measures. An important conclusion raised from this article refers to the increasing role of these special measures for central banks, which requires defining a new monetary policy framework in the near future.

Suggested Citation

  • Adina Criste, 2014. "Monetary Policy Adjustment at the Global Financial Crisis Constraints," Hyperion Economic Journal, Faculty of Economic Sciences, Hyperion University of Bucharest, Romania, vol. 2(4), pages 3-11, December.
    • Handle: RePEc:hyp:journl:v:2:y:2014:i:4:p:3-11
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    References listed on IDEAS

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    3. Adina Criste, 2013. "Issues Regarding the Conducting of the Euro Area Monetary Policy during the European Debt Crisis," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 9(2), pages 96-106, April.
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    5. G. Peersman, 2011. "Macroeconomic Effects of Unconventional Monetary Policy in the Euro Area," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 11/734, Ghent University, Faculty of Economics and Business Administration.
    6. Francesco Papadia, 2013. "Central bank cooperation during the great recession," Policy Contributions 782, Bruegel.
    7. Peersman, Gert, 2011. "Macroeconomic Effects of Unconventional Monetary Policy in the Euro Area," CEPR Discussion Papers 8348, C.E.P.R. Discussion Papers.
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    Cited by:

    1. CRISTE, Adina, 2022. "Central Banks Contributions In Managing The Pandemic Crisis. A Summary At The Eu Countries Level," Studii Financiare (Financial Studies), Centre of Financial and Monetary Research "Victor Slavescu", vol. 26(3), pages 76-93, September.
    2. CRISTE, Adina, 2015. "Central Bank Policy During Times Of Financial Instability - Experiences Of Some Eurosystem’S Candidates," Studii Financiare (Financial Studies), Centre of Financial and Monetary Research "Victor Slavescu", vol. 19(2), pages 17-29.
    3. CRISTE, Adina & LUPU, Iulia, 2016. "Some Thoughts On The Divergent Conduct In Central Banking," Journal of Financial and Monetary Economics, Centre of Financial and Monetary Research "Victor Slavescu", vol. 3(1), pages 77-81, October.

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    More about this item

    Keywords

    unconventional measures; macro-prudential instruments; inflation targeting; monetary policy framework;
    All these keywords.

    JEL classification:

    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
    • G01 - Financial Economics - - General - - - Financial Crises

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