The Critical Role of ECB in Addressing the Effects of the Recent Global Financial Crisis in the Eurozone
24 Pages Posted: 6 Mar 2018
There are 2 versions of this paper
The Critical Role of ECB in Addressing the Effects of the Recent Global Financial Crisis in the Eurozone
Date Written: January 25, 2018
Abstract
Purpose – The present study tries to shed light on the crucial role of the European Central Bank (ECB) in addressing the severe negative effects of the credit crunch in the Eurozone.
Design/methodology/approach – The paper is based on a qualitative assessment of the data provided on its official published reports. The analysis covers all the related measures taken, both conventional and unconventional, for the time period up to 2014, which focused on addressing the impairments caused in the existing transmission mechanism.
Findings – It is pointed out that there is still a long way to run in order to achieve the desirable banking convergence. In conclusion, certain policies are suggested so as the role of ECB to be more effective and ensure financial stability along with equal and sustainable growth among all the member states, a necessary treaty for social welfare.
Originality/value – A comprehensive review of the implemented measures by ECB to address the effects of the crisis.
Keywords: ECB, Crisis, Monetary Policy, Transmission Mechanism, Quantitative Easing
JEL Classification: G21
Suggested Citation: Suggested Citation