Engineering
4 years ago

Interest rates fail to curb inflation in Eurozone countries, raising economic concerns.

MONTENEGRIN JOURNAL OF ECONOMICS
The Impact of Interest Rate Transmission Channel on the Prices Development in the Eurozone Countries
Júlia Ďurčová

Paper Summary

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The article investigates how changes in interest rates affect prices in Eurozone countries like Austria, Germany, France, and Slovakia. By analyzing data from 2000 to 2019, the researchers found that increasing interest rates did not consistently lower inflation rates as expected. This suggests that the impact of interest rates on inflation in Eurozone countries may be weaker than previously thought.