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최신자료
Geopolitical risk in the euro area: Measurement and transmission
Deutsche Bundesbank
2026.10.13
Geopolitical risk (GPR) is a growing concern for policymakers, as it influences economic output, inflation, and financial stability. However, most existing GPR measures, such as the widely used Caldara and Iacoviello (2022) index, are based on US and Anglosphere media sources, potentially overlooking region-specific dynamics. This paper addresses this gap by developing a Euro Area Geopolitical Risk (EA GPR) indicator tailored to capture the unique risk perceptions of European economies. The study demonstrates that EA GPR shocks have distinct and significant economic effects, including output contraction and inflationary pressures, which are not fully captured by US-centric measures. These findings have important implications for European central banks, particularly in assessing inflation risks and calibrating monetary policy.
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