Financial structure and monetary policy transmission in transition countries

摘要

Using the structural vector autoregressive methodology, we present estimates of monetary transmission for the new and future EU member countries in Central and Eastern Europe. Unlike most previous research we include ten transition countries. We examine to what extent monetary transmission in these countries is related to financial structure indicators, using an approach similar to that used by Cecchetti [Cecchetti, Stephen G., 1999. Legal structure, financial structure, and the monetary policy transmission mechanism. Federal Reserve Bank of New York Economic Policy Review 5 (2), 9-28] to investigate this issue for eleven old EU member countries. Unlike Cecchetti's results for the old EU member countries, we find little evidence of any link between financial structure indicators and monetary policy for these ten accession countries.