We use cookies to personalise content and ads, to provide social media features and to analyse our traffic. Read more about our Privacy Policy.

I got it!

Working Paper
64 pages, 3M
September 2024

Monetary policy, firm heterogeneity, and the distribution of investment rates

We document that an interest rate cut reshapes the distribution of investment rates. Specifically, expansionary monetary policy leads to fewer small and zero investment rates and more large investment rates. This change in the shape of the investment rate distribution is particularly pronounced among young firms. We emphasise the relevance of the extensive margin investment decision—whether to

Source: op.europa.eu

Featured Publications in Banking

Encountering obstacles in the single market?

Policy Brief, Oct 2024, op.europa.eu

EIB investment survey 2024 - European Union overview

Consultation, Oct 2024, op.europa.eu

Other Publications in Economy

Shaping Europe - Recent EESC Achievements

Publication, Jun 2021, eesc.europa.eu

Factsheet Payment Protection Insurance

Publication, May 2020, beuc.eu

Report On A Digital Euro

Report, Oct 2020, epthinktank.eu

Tatra Summit Insight Report 2021

Publication, Oct 2021, globsec.org

Recent Events in Economy