Deutsche Bundesbank
German experience offers macro-prudential lessons for Europe, says Buba's Dombret
Germany's approach to macro-prudential oversight could offer insights into how to democratise ‘hard' policy tools and define the role of national central banks, says the Bundesbank's Andreas Dombret
German paper proposes new method for identifying time-invariant regressors
Discussion paper says existing techniques used to identify time-invariant regressors in dynamic panel data models are ‘quite biased’ and proposes a two-stage alternative
Bundesbank paper confirms O-ring theory effect for FDI
Paper written by two economists at the University of Munich finds that the position of a country's industry on the value chain is just as important in determining FDI as is the country's productivity
Bundesbank paper contrasts techniques for identifying monetary policy shocks
Discussion paper compares different methods for identifying monetary policy shocks; looks at use of VAR models and narrative time series
Weidmann says regulation must strengthen principle of individual responsibility
Bundesbank president says higher capital requirements will enable banks to shoulder greater losses by themselves; correct sequence of liability under common European resolution rules also needed
Robert Pringle’s Viewpoint: Rebalancing the fraught relationship between governments and central banks
The growing politicisation of central banking involves central bankers needing to make difficult judgement calls on the areas that lie outside of their competence
Asmussen defends ECB bond purchases at German constitutional court hearing
German representative on the European Central Bank’s executive board Jörg Asmussen rejects charges the central bank exceeded its legal basis by agreeing to purchase the sovereign debt of eurozone nations
Bundesbank research studies how weak resolution rules impact growth
Discussion paper employs ‘catharsis indicator’ to show that stronger resolution regimes reward good firms and help to allocate credit effectively, boosting growth
Weidmann hits out at 'austerity backlash'
Bundesbank president challenges Blanchard study, says no conflict between fiscal consolidation and growth; Banque de France governor Noyer throws weight behind European banking union
Central bank operations push up Target2 turnover
ECB annual report says central banks helped push the value of payments in Target2 system to €634 trillion in 2012; balances diverged as German claims and Spanish liabilities increased
The Eurosystem has done enough; time for politicians to choose
The Eurosystem has done enough to support the eurozone, says Jens Weidmann, who believes the euro area should either accept fiscal union or allow sovereigns to default
The changing structure of the euro money market
Systematic reports on the European secured and unsecured money market would represent a powerful tool for central bankers despite the current distortions caused by Eurosystem liquidity operations
Bundesbank paper finds some banks can improve stability via income diversification
Discussion paper says move into non-interest income sources stabilises smaller and more retail-orientated banks, but destabilises investment banks
Weidmann: Eurosystem has 'stretched its mandate' to contain crisis
Bundesbank president says mismatch of control and liability is diminishing the responsibility of individual states and transferring the consequences of failure onto the European community
Bundesbank paper examines dynamics of crisis repo funding
Discussion paper finds changing pattern of fund management during global financial crisis, as ability of parent banks to protect subsidiaries dwindled; signals importance of strong capital base
Bundesbank's Nagel calls for better data on European money markets
Joachim Nagel and Carsten Hartkopf from the Bundesbank's markets department advocate money market survey to better understand monetary policy transmission and give early warning signals
Bank of Japan raises ‘major concerns' over US foreign bank rules
Letter to Fed governor challenges proposed regulation of foreign banks on the basis of inconsistency with international standards and restrictive liquidity rules; Germans also weigh in
Bundesbank research proposes improved structure for counterparty credit risk
Discussion paper finds ‘quadri-partite’ structure gives best results for managing counterparty credit risk
Lagarde says ECB has ‘room to manoeuvre' on rates
IMF managing director says it up to ECB when to cut rates but calls for co-ordinated policies worldwide to shift ‘from three-speed to full speed' global recovery
Bundesbank research says sovereign default can be the best option
Discussion paper finds it may be optimal to choose a costly default over legal repayment, but only when a country is facing disaster
Bundesbank research finds strong role for China in global inflation dynamics
Discussion paper weighs cross-border effects of supply and demand shocks in China; results suggest Chinese shocks explain an average of 5% of total inflation across countries
Bundesbank researchers test if higher inflation could ease public debt burden
Paper finds 'minor effect' on public debt from a raised inflation target, and would only be felt over a long time-frame
Dombret warns national banking systems are too-big-to-fail
Bundesbank’s Andreas Dombret says too-big-to-fail problem extends to whole banking systems; says some eurozone systems could have to be downsized
Bundesbank paper raises concerns over accuracy of systemic risk measures
Researchers find market-based systemic risk measures may give a façade of safety even as banks enter ‘major tail risks’