Field of research

The academic team of the professorship investigates a broad range of macroeconomic phenomena that are of central importance for economic policy makers. Our research focuses in particular on the role of central banks in stabilizing inflation, economic activity, and financial markets.

Completed research projects

Research questions in projects already completed include, for example: How have central banks historically reacted to distortions in domestic real estate markets and international commodity markets? What interactions exist between monetary and fiscal policy and what lessons can be learned from such policy interactions in order to prevent or better manage financial and economic crises? What consequences do interest rate hikes by major central banks (e.g., ECB or Federal Reserve) have on foreign exchange markets and cross-border capital flows?

Current research agenda

In addition to our ongoing research in the area of international foreign exchange markets, we are currently analyzing the challenges and novel trade-offs that climate change poses for the practical conduct of monetary policy. For instance, we are empirically quantifying (i) how increasingly extreme weather events affect the global supply and prices of unprocessed food; (ii) the extent to which weather-induced price fluctuations in agricultural commodities spill over to other commodity classes, such as crude oil or industrial metals; and how such shocks in foreign agricultural markets affect (iii) domestic economic, financial, and inflation cycles, and (iv) the distribution of household income and wealth.