Banken in der geldpolitischen Transmission

The microeconomics of financial intermediaries reveal that the financial sector of an economy should not be ignored in monetary transmission models. Markus Küppers analyses the credit reactions of German type large banks, credit co-operatives and savings banks following a monetary shock. The results indicate asymmetries in the supply side reaction of certain loan series: large banks obviously respond differently to a monetary shock than credit co-operatives and savings banks do. In order to explain these differences in the portfolio reaction of the three banking groups, the relationship-banking-hypothesis proves to be quite instructive. It is thus argued that institutional settings of a national finance system do have a certain relevance in the transmission process. This is a challenging result from the point of view of a single monetary policy which faces a variety of national finance and banking system converging rather slowly.