Quotation de Luigi, Clara, Feldkircher, Martin, Poyntner, Philipp, Schuberth, Helene. 2019. Effects of the ECB’s Unconventional Monetary Policy on Real and Financial Wealth.




We assess the impact of the ECB’s unconventional monetary policy (UMP) on the wealth distribution of households in ten euro area countries. For this purpose, we estimate the effects of an ECB balance sheet expansion on financial asset and housing prices by means of vector autoregressions. We then use the estimates to carry out micro simulations based on data from the Household Finance and Consumption Survey (HFCS). We find that the overall effect of UMP on the net wealth distribution of households differs depending on which wealth inequality indicators we use. There is an inequality-increasing effect for the majority of the countries under review when we use wealth inequality indicators that are sensitive to changes at the tails of the wealth distribution. The effect is more equalizing when we base our assessment on the Gini coefficient. It is also important to note that one-third of the households in our sample does not hold financial or housing wealth and is thus not directly affected by UMP measures via the asset price channel.


Press 'enter' for creating the tag

Publication's profile

Status of publication Published
Affiliation WU
Type of publication Working/discussion paper, preprint
Language English
Title Effects of the ECB’s Unconventional Monetary Policy on Real and Financial Wealth
Year 2019
URL http://epub.wu.ac.at/7040/
JEL D14, D31, E44, E52, E58


Poyntner, Philipp (Details)
de Luigi, Clara (Oesterreichische Nationalbank, Austria)
Feldkircher, Martin (Oesterreichische Nationalbank, Austria)
Schuberth, Helene (Oesterreichische Nationalbank, Austria)
Department of Economics (Badinger) (Details)
Google Scholar: Search