The surge in energy prices in 2022 has been a defining factor behind the increase in euro
area inflation. We assess the impact of “unconventional fiscal policy,” defined as the set of …

How does household heterogeneity affect the transmission of an energy price shock? What
are the implications for monetary policy? We develop a small, open-economy TANK model …

This paper studies people's understanding of inflation—their perceived causes,
consequences, trade-offs—and the policies supported to mitigate its effects. We design a …

How do shifts in the supply of natural gas affect output and inflation? To answer this
question, we construct an instrument for gas supply shocks using a large set of daily news …

We use survey evidence on reported spending in hypothetical energy price shock scenarios
to study novel features of the price elasticity of energy demand and the marginal propensity …

The French government has implemented a tariff shield on energy products to dampen the
impact of the increase in energy prices started in 2021. To assess the macroeconomic and …

Recent changes in the macroeconomic environment have raised and likely will continue to
raise the spectre of local shortages of production inputs. Limits to the supply of such goods …

The distributional and disruptive effects of energy supply shocks are potentially large. We
study the effectiveness of alternative fiscal responses in a two-country HANK model that we …

Financial integration generates macroeconomic spillovers that may require international
monetary policy coordination. We show that individual central banks may set nominal …

We use a dynamic equilibrium model featuring different sources of energy to assess the
macroeconomic effects in the euro area of a temporary reduction in excise taxes on fossil …