About this episode
We kick off the fall 2023 season in our "Week in Europe" series by discussing the cyclical and longer-term outlook for the Euro Area growth. We present positive and negative factors affecting growth dynamics and discuss mechanisms through which recent negative supply shocks might give rise to long-term scarring implications for Euro Area GDP.
The paper we mention in the podcast is:
"The Scars of Supply Shocks: Monetary Policy Implications", by Luca Fornaro and Martin Wolf.
Working paper version (no paywall)
https://crei.cat/wp-content/uploads/2023/04/TSS-2.pdf
Publishes version:
https://www.sciencedirect.com/science/article/pii/S0304393223000417
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