What are the key scenarios typically considered in stress tests?

Nov 2, 2023 ... ... contractionary effects of disinflation. Smart fiscal policy can help restore price stability while lessening the impact of the cost-of ... Jan 10, 2023 ... Specifically, we identify a contractionary monetary policy shock that coincides with a decrease in the supply of loans (MP Loan Supply) and ... Mar 26, 1999 ... By shifting toward more contractionary monetary policies, other gold standard countries could ensure that domestic interest rates would rise in ... Feb 22, 2019 ... ... contractionary. Developments at the time of the December FOMC meeting, including volatility in financial markets and increased concerns ... This is called contractionary fiscal policy. 9. During times of inflation, by selling government bonds and raising reserve requirements, the discount rate, and ... Aug 10, 2022 ... In this paper we analyse the role of fiscal policy and its debt maturity structure which is producing this "monetary contraction" through its ... Apr 1, 2025 ... Contractionary monetary policy has the opposite effect on GDP, employment, and inflation. The Fed chooses whether to make monetary policy ... Nov 27, 2023 ... this year at 2.7% of GDP, so European fiscal policy is not offsetting the contractionary impacts of fiscal policy. Second, the euro area is ... Contractionary monetary policy during 2009–2015 caused shadow banking loans to rise rapidly, offsetting the expected decline of traditional bank loans and ... Jul 2, 2020 ... A direct benefit of contractionary monetary policy is that it strengthens government budgets. For example, when the Fed's discount rate ...