Arbeitspapier

A structural interpretation of the impact of the great recession on the Austrian economy using an estimated DSGE model

In this paper we present an analysis of the impact of the great recession of the years 2008 and 2009 on the Austrian economy. For this purpose, we utilize the new estimated DSGE model of the OeNB for the Austrian economy within the Euro area. This model is a small open-economy version of Smets & Wouters (2003), where the domestic economy is linked to a highly stylized representation of the rest of the Euro area via trade and financial flows. The model identifies foreign demand and confidence shocks as the main transmission channels. Moreover the risk premium shock contributed significantly to the downturn of the Austrian economy. In contrast price shocks (price markup and raw material shocks) were supportive throughout the crisis. The strong resilience of the Austrian labour market during the crisis and the subsequent upswing is reected in a series of negative technology shocks.

Language
Englisch

Bibliographic citation
Series: Working Paper ; No. 177

Classification
Wirtschaft
Subject
Konjunktur
Wirkungsanalyse
Schock
Eurozone
Dynamisches Gleichgewicht
Kleine offene Volkswirtschaft
Österreich

Event
Geistige Schöpfung
(who)
Fenz, Gerhard
Reiss, Lukas
Schneider, Martin
Event
Veröffentlichung
(who)
Oesterreichische Nationalbank (OeNB)
(where)
Vienna
(when)
2012

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Fenz, Gerhard
  • Reiss, Lukas
  • Schneider, Martin
  • Oesterreichische Nationalbank (OeNB)

Time of origin

  • 2012

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