The conference takes place at a particularly difficult time: while we are still facing the complexities of the gradual phasing out of the policies implemented during the pandemic, new risks have dramatically taken centre stage. The Russian invasion of Ukraine has changed the macroeconomic scenario almost overnight.
To further validate our estimates, we recently adapted and employed two more models: the basic multivariate filter (BMVF), proposed by Blagrave et al. in 2015, and the multivariate state-space framework (MSSF). The latter is an enhanced version of the BMVF that is sufficiently flexible to incorporate a range of assumptions about economic relationships.