Bank of Finland and CEPR Joint Conference on Navigating Monetary Policy by the Northern Lights

Session 1 – How Important is Central Bank Independence?

The Macroeconomic Consequences of Undermining Central Bank Independence
Rui Mano (IMF)

Lack of Trust and Fiscal Dominance: Evidence from a Survey Firm Experiment
Renato Faccini (National Bank of Denmark)

Beyond Technocracy: Toward a Holistic Approach to Central Bank Trust
Sandra Eickmeier (CAMA, Deutsche Bundesbank)

Session 2 - Monetary Policy and Consumption Upside Down

Consumption Inequality, Household Risk, and the Business Cycle
Francesco Furlanetto (Norges Bank)

Saving by Consuming: The Intertemporal Behavior of Hand-to-Mouth Households
Esteban Verdugo (University of Michigan)

Session 3 – Monetary Policy Meets Geopolitics

A Geopolitical Shock to Bank Assets and Monetary Policy Transmission
Björn Imbierowicz (Deutsche Bundesbank)

Look-Through or Look Closer? Energy Shocks and Underlying Inflation in the Euro Area
Rosi Chankova (Bank of England)

How Partisanship Shapes Economic Expectations: Evidence from the 2025 U.S. Tariff Announcement
Yoon Jo (Texas A&M University)

KEYNOTE SPEECH
Yuriy Gorodnichenko (UC Berkeley)

Session 4 - Expectations and Choice under Subjective Models of the Macroeconomy

The impact of interest: Firms' investment sensitivity to interest rates
Benjamin Born (University of Bonn)

Teach, don't give? Mental models, understanding and communication
Michael McMahon (University of Oxford)

Heterogeneity in Consumers' Economics Expectations across Euro Area Countries
Maritta Paloviita (Bank of Finland)

FIRESIDE CHAT
Tuomas Välimäki (Bank of Finland)
Jim Bullard (Federal Reserve Bank of St. Louis)
Linda Tesar (University of Michigan)