Skip to main content

LUP Student Papers

LUND UNIVERSITY LIBRARIES

Ekonomiska effekter av penningpolitiken, pandemibekämpning och frivillig social distansering i Sverige och euroområdet.

Berisha, Drilon LU and Nilsson, Daniel LU (2023) NEKH02 20222
Department of Economics
Abstract
The main objective of this study is to examine whether monetary policy and lockdown of the Covid-19 pandemic together with social distancing, have had a significant impact on the economy. In terms of monetary policy, this study primarily focuses on the use of quantitative easing by the Swedish Riksbanken and European Central Bank. The purpose is to observe to what extent Sweden has managed to moderate the economic costs of the pandemic, relative to the countries of the eurozone. Estimates of several regressions of monetary policy chocks, indices of lockdown policies and social distancing on the real economy have been conducted. The panel data between 2010-2022 includes various economic variables such as real GDP, HICP inflation, housing... (More)
The main objective of this study is to examine whether monetary policy and lockdown of the Covid-19 pandemic together with social distancing, have had a significant impact on the economy. In terms of monetary policy, this study primarily focuses on the use of quantitative easing by the Swedish Riksbanken and European Central Bank. The purpose is to observe to what extent Sweden has managed to moderate the economic costs of the pandemic, relative to the countries of the eurozone. Estimates of several regressions of monetary policy chocks, indices of lockdown policies and social distancing on the real economy have been conducted. The panel data between 2010-2022 includes various economic variables such as real GDP, HICP inflation, housing prices, quantitative easing, interest rates, in addition indices of lockdown policies and social distancing. We find in our analysis evidence for both Sweden and the Euro area that quantitative easing has suppressed the negative economic impact. The effect on HICP inflation is significant however for some time periods, the long-run effect is negative. Regarding the housing market, the estimated regression had a positive significant effect only for the Euro area during the period 2010-22. Lockdown policies only had a significant negative economic effect in Sweden and not the Euro area. However, one part of our study suggests that the use of voluntary social distancing has had limited negative economic impact compared to lockdown policies, but only for Sweden in the time period 2015-2022 and not in the Euro area. Nonetheless one has to take the robustness into consideration since our society is still in an early phase after the pandemic. Further research in the future is necessary in order to estimate the long term economic effects. (Less)
Please use this url to cite or link to this publication:
author
Berisha, Drilon LU and Nilsson, Daniel LU
supervisor
organization
course
NEKH02 20222
year
type
M2 - Bachelor Degree
subject
keywords
Quantitative Easing, Lockdown, Covid-19, GDP, Inflation, Property Prices, Social distancing, Monetary Policy.
language
Swedish
id
9109459
date added to LUP
2023-05-29 12:01:56
date last changed
2023-05-29 12:01:56
@misc{9109459,
  abstract     = {{The main objective of this study is to examine whether monetary policy and lockdown of the Covid-19 pandemic together with social distancing, have had a significant impact on the economy. In terms of monetary policy, this study primarily focuses on the use of quantitative easing by the Swedish Riksbanken and European Central Bank. The purpose is to observe to what extent Sweden has managed to moderate the economic costs of the pandemic, relative to the countries of the eurozone. Estimates of several regressions of monetary policy chocks, indices of lockdown policies and social distancing on the real economy have been conducted. The panel data between 2010-2022 includes various economic variables such as real GDP, HICP inflation, housing prices, quantitative easing, interest rates, in addition indices of lockdown policies and social distancing. We find in our analysis evidence for both Sweden and the Euro area that quantitative easing has suppressed the negative economic impact. The effect on HICP inflation is significant however for some time periods, the long-run effect is negative. Regarding the housing market, the estimated regression had a positive significant effect only for the Euro area during the period 2010-22. Lockdown policies only had a significant negative economic effect in Sweden and not the Euro area. However, one part of our study suggests that the use of voluntary social distancing has had limited negative economic impact compared to lockdown policies, but only for Sweden in the time period 2015-2022 and not in the Euro area. Nonetheless one has to take the robustness into consideration since our society is still in an early phase after the pandemic. Further research in the future is necessary in order to estimate the long term economic effects.}},
  author       = {{Berisha, Drilon and Nilsson, Daniel}},
  language     = {{swe}},
  note         = {{Student Paper}},
  title        = {{Ekonomiska effekter av penningpolitiken, pandemibekämpning och frivillig social distansering i Sverige och euroområdet.}},
  year         = {{2023}},
}