@article{6fd67f4c441d4f41bc6070107dd4aeee,
title = "Distributional impact of monetary policy in the UK: from conventional to unconventional policy",
abstract = "We evaluate the income distributional effect of monetary policy in the UK for the period 1993–2019 using a mixed frequency approach and a high-frequency identification. Our results indicate that expansionary monetary policy increased income inequality during the unconventional policy subperiod 2009–2019. Looking at the income brackets, we find that this increase in inequality is primarily due to the positive impact of expansionary policy on the upper share of income distribution. Our counterfactual analysis reveals that unconventional monetary policy contributed to the increase in inequality and that the response to COVID-19 is likely to do the same.",
keywords = "C32, D31, E52, Monetary policy, distribution channels, identification, income inequality",
author = "{Ballabriga Claver{\'i}a}, F. and Karen Davtyan",
note = "Funding Information: This work was supported by Universitat Ramon LLull under Grant 2018-URL-IR2nQ-040; Banco Sabadell and AGAUR-Generalitat de Catalunya [SGR 640]; We thank the editor, Judith Clifton, the associate editors, Philip Arestis and Salvador Perez-Moreno, and the two anonymous referees for their detailed comments and recommendations. We also gratefully acknowledge helpful comments and suggestions from Juan Dolado, Helmut L{\"u}tkepohl, and the participants of the SAEe symposium in Alicante, the Eighth ECINEQ Meeting in Paris School of Economics, and the Workshop in Time Series Econometrics at the University of Zaragoza. Publisher Copyright: {\textcopyright} 2021 Informa UK Limited, trading as Taylor & Francis Group.",
year = "2022",
doi = "10.1080/17487870.2021.1949316",
language = "English",
volume = "25",
pages = "435--450",
journal = "Journal of Economic Policy Reform",
issn = "1748-7870",
publisher = "Routledge",
number = "4",
}
