On 1 April 2019, the team members of the international project "Quantitative Easing and Financial (In)Stability" funded by Volkswagen Foundation presented and discussed their project results on quantitative easing (QE). The event took place at Goethe University`s House of Finance.
Following opening remarks by Jan Pieter Krahnen, Director of the Center for Financial Studies (CFS) and the Research Center SAFE, the international research team presented ten different papers. The sessions of the conference focused – analog to the main research interest of the project – on the potential effects of QE on 1) Financial Markets in Industrialized Countries 2) Financial Markets in Emerging Countries 3) Financial Institutions in Industrialized Countries and 4) Financial Institutions in Emerging Countries.
The event allowed the team to lively discuss their research and project results of the last three years with each other as well as representatives from well-known institutions. Representatives of i.e. the Bank of Canada, ECB, Federal Reserve Bank of Boston, NYU Stern, Imperial College London, Vienna University of Economics and Business and the University of Manchester took part in the discussion.
The international team of researchers headed by Loriana Pelizzon, SAFE Professor of Law and Finance has received a large research grant by the Volkswagen Foundation in 2015. The grant has been awarded for a period of three years. From SAFE and Goethe University, Jan Pieter Krahnen and Christian Schlag contributed to this project, together with Matthias Thiemann (Sciences Po Paris) and Sascha Steffen (Frankfurt School of Finance & Management). Team members of the partner institutions were Jun Uno (Waseda University Japan), Marti Subrahmanyam and Viral Acharya (New York University), Linlin Niu (Xiamen University, China), and Co-Pierre Georg (University of Cape Town, South Africa).
Volkswagen Foundation is Germany’s largest independent funder of basic research, which aims at advancing sciences and the humanities. “Quantitative Easing and Financial (In)Stability” aimed to analyze the potential effects of quantitative easing (QE), in particular on the pricing of financial assets, the risk-taking by banks, and the spillover effects to emerging markets. The project proposed a new approach to address the topic from a banking and finance perspective.
More information about the project can be found here.
Agenda and presentations of the conference can be found here.