Stefano Pica
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stefanopica.bsky.social
Stefano Pica
@stefanopica.bsky.social
150 followers 200 following 1 posts
Advisor at Banca d'Italia.
Ph.D. in Economics at Boston University.
View/opinions are my own.
www.stefanopica.com
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Reposted by Stefano Pica
voxeu.org
Household macroeconomic interpretation frequently contradicts standard theoretical playbooks. C Ferreira & @stefanopica.bsky.social find that they interpret policy through a lens shaped by recent crises as well as deep-rooted concerns about real purchasing power.
cepr.org/voxeu/column...
#EconSky
Graphs of impulse responses of household expectations to a contractionary monetary policy shock on economic growth, inflation, unemployment, and interest rate on savings. Understanding how households interpret macroeconomic policy is vital to the effectiveness of central banks. This column demonstrates that the reactions of individual households frequently contradict standard theoretical playbooks. Using euro area survey data, the authors find that households interpret policy through a lens shaped by recent crises – such as the energy shock following Russia’s invasion of Ukraine – as well as deep-rooted concerns about real purchasing power. Addressing these perceptions requires not only technical briefings, but also clear narratives about how policy affects inflation and the broader economy.
July 1, 2025 at 7:26 AM
Reposted by Stefano Pica
voxeu.org
Renewed US-China tensions could redirect Chinese exports to the € area, boosting supply and lowering prices. Such diversion could cut core euro area #inflation by 0.3 percentage points over two years.
Francesco Corsello, @stefanopica.bsky.social‬, Fabrizio Venditti
cepr.org/voxeu/column...
#EconSky
Graphs showing manufactured goods imports from extra-EA excluding China and from China and the unit values over time. Tariffs affect both supply and demand, possibly with contrasting effects on prices. This column shows that renewed US-China tensions could redirect Chinese exports to the euro area, boosting supply and lowering prices. Using detailed trade and inflation data, it estimates that such diversion could cut core euro area inflation by 0.3 percentage points over two years. The pass-through is strongest for technology and housing goods. The findings highlight how protectionism abroad can bring disinflation to open economies like the euro area.
June 12, 2025 at 8:13 AM