Scientific Bulletin of the Odessa National Economic University 2016, 5, 106-114

Open Access Article

DETERMINATION OF POSSIBILITIES AND LIMITS OF INFLUENCE OF ECB POLICY ON THE LEVEL OF UNEMPLOYMENT IN EU COUNTRIES

Kostiuchenko Natalya
Graduate student of the 3rd year of studying the chair of world economy and international economic relations, ONU named after II Mechnikov, e-mail:nataliakostiuchenko@gmail.com

Shkabarin Georgiy
Graduate student of the third year of study, Institute of International Relations, Warsaw University, e-mail:gshkabarin@wne.uw.edu.pl

Cite this article:

Kostiuchenko, N.,Shkabarin, G. (2016). DETERMINATION OF POSSIBILITIES AND LIMITS OF INFLUENCE OF ECB POLICY ON THE LEVEL OF UNEMPLOYMENT IN EU COUNTRIES. Ed.: М.D. Baldzhy (ed.-in-ch.) and others [Systema pensiinoho zabezpechennia Ukrainy ta yevrointehratsiini protsesy; za red.: М. D. Baldzhy (gol. red.)], Scientific Bulletin of the Odessa National Economic University (ISSN 2313-4569), Odessa National Economics University, Odessa, No. 5(237), pp. 106-114.

Abstract

The article investigates a question of the influence of monetary policy on the level of unemployment in nine EU countries and compares the results with a situation in Ukraine. The problem of effective ECB monetary policy is very important during crisis times. Unemployment is the factor that is under jurisdiction of ECB since 2011 using inflation targeting. The main instrument we use for defining the influence of ECB policy is the OLS method. The time period from 2000 till 2015 is considered. Our findings show that the influence of inflation on unemployment in all countries apart from Austria is terribly low. Other factors, such as labor productivity and foreign direct investments inflow have a greater influence on unemployment.

Keywords

unemployment, monetary policy, foreign direct investments, ECB.

JEL classification: R400

UD classification: 338.246.2

Лицензия Creative Commons
This work is licensed under a Creative Commons Attribution 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by/4.0/

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