Lucrezia Reichlin
Professor of Economics
Laurea (Modena) PhD (New York)
Lucrezia Reichlin is Professor of Economics at London Business School, a trustee of the Centre of European Policy Research (CEPR) and of the International Financial Reporting Standards (IFRS). As an IFRS trustee, she led the work for the establishment of the International Sustainability Standards Board (ISSB). Professor Reichlin is an applied macroeconomist and econometrician. She has pioneered methods for forecasting with large datasets and for now-casting; she wrote extensively on monetary and fiscal policy and the business cycle. For her academic accomplishments, she was elected Fellow of the British Academy, the Econometric Society and Honorary International Fellow of the American Economic Association. Professor Reichlin also has policy experience. She was Director General of Research at the European Central Bank (ECB) from 2005 to 2008 and co-founded Now-Casting Economics in 2011. She consults central banks and governments on topics related to the economic governance of the European Union, monetary policy and financial markets. In 2021, she was a member of the G20 High Level Independent Panel on financing the Global Commons for Pandemic Preparedness and Response and a panel member of the G7 Impact Taskforce. She has been a member of the French National Productivity Council since 2022. Professor Reichlin is also a member of a few commercial boards and research institutes.
- lreichlin@london.edu
- +44 (0)20 7000 7000
- Lucrezia Reichlin CV
Research Interests
- Monetary policy
- Applied macroeconomics and time series (developing econometric models to study high dimensional data)
- Business cycle
- Monetary policy
- Applied macroeconomics and time series (developing econometric models to study high dimensional data)
- Business cycle
2024
The asymptotic equivalence of ridge and principal component regression with many predictors
De Mol C; Giannone D; Reichlin L
Econometrics and Statistics 2024 Online first
2023
A fed for our times:a review essay on 'Twentieth Century Monetary Policy' by Ben Bernanke
Reichlin L
Journal of Economic Literature 2023 Vol 61:4 p 1521-1539
Monetary–fiscal crosswinds in the European Monetary Union
Reichlin L; Ricco G; Tarbe M
European Economic Review 2023 Vol 151
Nowcasting German GDP: Foreign factors, financial markets, and model averaging
Andreini P; Hasenzagl T; Reichlin L; Senftleben-Konig C; Strohsal T
International Journal of Forecasting 2023 Vol 39:1 p 298-313
2022
A Model of the Fed's View on Inflation
Hasenzagl T; Pellegrino F; Reichlin L; Ricco G
Review of Economics and Statistics 2022 Vol 104:4 p 686-704
2020
When is growth at risk?
Plagborg-Møller M; Reichlin L; Ricco G; Hasenzagl T
Brooking Papers on Economic Activity 2020 Fall
2019
Financial and fiscal interaction in the Euro Area crisis: this time was different
Caruso A; Reichlin L; Ricco G
European Economic Review 2019 Vol 119 p 333-355
Money, credit, monetary policy and the business cycle in the euro area: what has changed since the crisis
Giannone D; Lenza M; Reichlin L
International Journal of Central Banking 2019 Vol 15:5
2018
Comments and discussion In: The European Central Bank's monetary policy during its first 20 years by Philipp Hartmann and Frank Smets
Reichlin L
Brooking Papers on Economic Activity 2018 Autumn p 128-146
Discussion on “The euro and the theory (and practice) of Monetary Union” by Barry Eichengreen
Reichlin L
in The Future of Central Banking, conference proceedings, ECB December 2018., pp150-158
2017
Big data in economics: evolution or revolution?
Reichlin L; De Mol C; Gautier E; Giannone D; Mullainathan S; van Dijk; Wooldridge
in Matyas L et al (eds) Economics without borders, Cambridge University Press, 2017
Discussion of 'The disappointing recovery of output after 2009', by Fernald, Hall, Stock and Watson
Reichlin L
Brooking Papers on Economic Activity 2017 Spring
Non-standard monetary policy and financial stability: developing an appropriate macro-financial policy mix
Reichlin L; Huw P
in Jokivuolle E & Tunaru R S (eds) Preparing for the next financial crisis: policies, tools and models, Cambridge University Press 2017, pp 8-25
The national segmentation of Euro area banks balance sheet during the crisis
Colangelo A; Giannone D; Lenza M; Pill H; Reichlin L
Empirical Economics 2017 Vol 53:1 p 247-265
2016
Exploiting the monthly data flow in structural forecasting
Reichlin L; Giannone D; Monti F
Journal of Monetary Economics 2016 Vol 84 p 201-215
Greece : a new way forward
Papaioannou E; Portes R; Reichlin L
London Business School conference on Greece, May 2015
Reinforcing the Eurozone and protecting an open society
Corsetti G; Feld L; Koijen R; Reichlin L; Reis R; Rey H; Mauro B
CEPR Press, 2016
2015
Discussion of 'Inflation during and after the zero lower bound' by B. Arouba and F. Schorfheide
Reichlin L
Jackson Hole Symposium, September 2015
Exceptional policies for exceptional times: The ECB’s response to the rolling crises of the euro area
Reichlin L; Pill H
Handbook of the Economics of European Integration 2015
New start for the Eurozone: dealing with debt
Corsetti G; Feld L; Lane P; Reichlin L; Rey H; Vayanos D; Weder di Mauro B
CEPR Press, 2015
The ECB, the banks and the sovereigns
Rechlin L
in Nowotny, E...[et al], The challenge of economic rebalancing in Europe : perspectives for CESEE countries, Edward Elgar Publishing, 2015
2014
Monetary policy and banks in the Euro area: The tale of two crises
Reichlin L
Journal of Macroeconomics 2014 March Vol 39:B p 387-400
2013
Now-casting and the real-time data-flow
Giannone D; Banbura M; Modugno M; Reichlin L
In Elliott G and Timmermann A, Handbook of Economic Forecasting 2013 Vol 2 Part A:4 p 195-237
2012
A quasi-maximum likelihood approach for large approximate dynamic factor models
Doz C; Giannone D; Reichlin L
Review of Economics and Statistics 2012 Vol 94:4 p 1014-1024
The ECB and the interbank market
Giannone D; Lenza M; Pill H; Reichlin L
Economic Journal 2012 Vol 122:564 p F467-F486
2011
A maximum likelihood approach to dynamic factor analysis in large panels
Reichlin L; Doz C; Giannone D
Journal of Econometrics 2011 July Vol 94:4 p 1014-1024
A two-step estimator for large approximate dynamic factor models based on kalman filtering
Reichlin L; Doz C; Giannone D
Journal of Economic Theory 2011 September Vol 164:1
A two-step estimator for large approximate dynamic factor models based on Kalman filtering
Doz C; Giannone D; Reichlin L
Journal of Econometrics 2011 Annals Issue on Forecasting Vol 164:1 p 188-205
Comment, let's twist again: A high frequency event study analysis of operation twist and its implications for QE
Reichlin L
Brooking Papers of Economic Activity 2011 Spring p 151-207
Non-standard monetary policy measures and monetary developments
Reichlin L; Giannone D; Lenza M; Pill H
Book Chapter: In Chadha J, Holly S eds., Lessons for Monetary Policy from the Financial Crisis, CUP, 2011
Nowcasting
Reichlin L; Banbura M; Giannone D
Book Chapter: In Clements M P, Hendry D F eds., Oxford Handbook on Economic Forecasting, OUP, 2011
Short term forecasts of Euro area GDP growth
Reichlin L; Angelini E; Camba-Mendez G; Giannone D; Ruensler G
Econometric Journal 2011 Vol 14-25 44
2010
Discussion, globalization, the business cycle and macroeconomic monitoring
Reichlin L
Book Chapter: In Clarida R, Giavazzi F eds., NBER International Seminar on Macroeconomics, Chicago Press 2010
Large Bayesian vector auto agressions
Reichlin L; Banbura M; Giannone D
Journal of Applied Econometrics 2010 Vol 25:1 p 71-92
Monetary policy in exceptional times
Reichlin L; Lenza M; Pill H
Economic Policy 2010 Vol 25:62 p 295-339
Comments on "Forecasting economic and financial variables using global VARs"
Giannone D; Reichlin L
International Journal of Forecasting 2009 October-December Vol 25:4 p 684-686
Discussion, macroeconomic dynamic in the Euro Area by J Boivin, Marc P Giannoni and B Mojon
Reichlin L
Book Chapter: In Acemoglu D, Rogoff K, Woodford M eds., NBER Macroeconomic Annual 2008, Volume 23, University of Chicago Press, 2009
Incorporating conjunctural analysis in structural models
Giannone D; Monti F; Reichlin L
Book Chapter: In Volker W ed., The Science and Practice of Monetary Policy Today, Springer 2009
Monetary analysis and monetary policy in the Euro area 1999-2006
Fischer B; Lenza M; Pill H; Reichlin L
Journal of International Money and Finance 2009 November Vol 28:7 p 1138-1164
Nowcasting euro area economic activity in real time: The role of confidence indicator
Giannone D; Reichlin L; Simonelli S
National Institute Economic Review 2009 Vol 210:1 p 90-97
Opening the black box: Structural factor models with large cross sections
Forni M; Giannone D; Lippi M; Reichlin L
Econometric Theory 2009 Vol 25:5 p 1319-1347
2008
Discussion, macroeconomic dynamic in the euro area
Reichlin L; Boivin J; Mojon B
in Acemoglu, D, Rogoff, K & Woodford, m (eds), NBER Macroeconomic Annual 2008, University of Chicago Press, 2009
Discussion: Taking DSGE models to the policy environment by Alvarez-Lois, Harrison, Piscitelli and Sott
Reichlin L
Journal of Economic Dynamics and Control 2008
Explaining the great moderation: It is not the shocks
Reichlin L; Giannone D; Lenza M
Journal of European Economic Association 2008 Vol 6:2/3
Forecasting with a large number of predictors: Is Bayesian regression a valid alternative to principal components?
Reichlin L; De Mol C; Giannone D
Journal of Econometrics 2008 Vol 146:2 p 318-328
Money and monetary policy: The ECB experience 1999-2006
Reichlin L; Fischer B; Lenza M; Pill H
Conference Volume of the 4th ECB Central Bank Conference on “The role of money: money and monetary policy in the twenty-first century”
Nowcasting GDP and inflation: The real time informational content of macroeconomic data releases
Reichlin L; Giannone D; Small D
Journal of Monetary Economics 2008 May Vol 55:4 p 665-676
2007
Two-step estimator for large approximate dynamic factor models based on Kalman filtering
Reichlin L; Doz C; Giannone D
Review of Economics and Statistics 2007
2006
Does information help recovering structural shocks from past observations?
Reichlin L; Giannone D
Journal of the European Economic Association 2006 April-May Vol 4 :No. 2-3 p 455-465
VARs, common factors and the empirical validation of equilibrium business cycle models
Reichlin L; Giannone D; Sala L
Journal of Econometrics 2006 May Vol 132:1 p 257-279
2005
A core inflation indicator for the Euro area
Reichlin L; Cristadoro R; Forni M; Veronese G
Journal of Money Credit and Banking 2005 June Vol 37:No.3 p 539-560
The generalised dynamic factor model: One sided estimation and forecasting
Forni M; Hallin M; Lippi M; Reichlin L
Journal of the American Statistical Association 2005 Vol 100:471 p 830-840
2004
The generalised dynamic factor model consistency and rates
Forni M; Hallin M; Lippi M; Rechlin L
Journal of Econometrics 2004 April Vol 119:2 p 231-255
2003
Do financial variables help forecasting inflation and real activity in the Euro area?
Reichlin L; Forni M; Hallin M; Lippi M
Journal of Monetary Economics 2003 September Vol 50:6 p 1243-1255
2001
A measure of co-movement for economic variables, theory and empirics
Reichlin L; Croux C; Forni M
Review of Economics and Statistics 2001 May Vol 83:No 2,1 p 232-241
Coincident and leading indicators for the Euro area
Reichlin L; Forni M; Hallin M; Lippi M
Economic Journal 2001 May Vol 111:No. 471 p 62-85
Federal policies and local economies: Europe and the U.S.
Reichlin L; Forni M
European Economic Review 2001 January Vol 45:1 p 109-134
2000
The generalised dynamic factor model: identification and estimation
Forni M; Hallin M; Lippi M; Reichlin L
Review of Economics and Statistics 2000 November Vol 82:4 p 540-554
1999
Risk and potential insurance in Europe
Reichlin L; Forni M
European Economic Review 1999 June Vol 43:7 p 1237-1256
1998
Let’s get real: A factor analytical approach to disaggregated business cycle dynamics
Forni M; Reichlin L
Review of Economic Studies 1998:65 (3) p 453-473
1996
Dynamic common factors in large cross-sections
Reichlin L; Forni M
Empirical Economics 1996 Vol 21:1
1994
Common and uncommon trends and cycles
Reichlin L; Lippi M
European Economic Review 1994 April Vol 38:3-4 p 624-635
Diffusion of technical change and the decomposition of output into trend and cycle
Reichlin L; Lippi M
Review of Economic Studies 1994 January Vol 61:No. 1 p 19-30
Information forecasts and the measurement of the business cycle
Reichlin L; Evans G
Journal of Monetary Economics 1994 April Vol 33:2 p 233-254
VAR analysis, non-fundamental representations, blashke matrices
Reichlin L; Lippi M
Journal of Econometrics 1994 July Vol 63:1
1993
The dynamic effects of aggregate demand and supply disturbances: Comment
Lippi M; Reichlin R
American Economic Review 1993:83
1992
On persistence of shocks to economic variables: a common misconception
Reichlin L; Lippi M
Journal of Monetary Economics 1992 February Vol 29:1 p 87-93
1991
Trend-cycle decompositions and measures of persistence: does time aggregation matter?
Reichlin L; Lippi M
Economic Journal 1991 March Vol 101:405 p 314-323
1989
Segmented trends and non-stationary time series
Reichlin L; Rappoport P
Economic Journal 1989 Vol 99:395 p 168-177
Structural change and unit roots econometrics
Reichlin L
Economics Letters 1989 December Vol 31:No. 3 p 231-233
2020
Nowcasting German GDP
Andreini P; Senftleben-König C; Hasenzagl T; Reichlin L; Strohsal T
Social Sciences Research Network
2019
Financial variables as predictors of real growth vulnerability
Reichlin L; Ricco G; Hasenzagl T
Working Paper
2018
A model of the Fed's view on inflation
Hasenzagl T; Pellegrino F; Reichlin L; Ricco G
CEPR Discussion Paper
Financial and fiscal interaction in the euro area crisis: this time was different
Caruso A; Reichlin L; Ricco G
CEPR Discussion Paper
2015
The legacy debt and the joint path of public deficit and debt in the Euro Area
Reichlin L; Caruso A; Ricco G
ECFIN working paper series
2014
Exceptional policies for exceptional times: the ECB’s response to the rolling crises of the Euro Area, and how it has brought us towards a new grand bargain
Reichlin L; Pill H
CEPR Discussion Paper
Exploiting the monthly data-flow in structural forecasting
Reichlin L; Giannone D; Monti F
Bank of England Working Papers
2012
Money, credit, monetary policy and the business cycle in the euro area
Reichlin L; Giannone D; Lenza M
CEPR Discussion Paper
2016
Deleveraging? What Deleveraging?
Buttiglione L; Lane P R; Reichlin L; Reinhart V
London: Centre for Economic Policy Research
Teaching portfolio
Our teaching offering is updated annually. Faculty and programme material are subject to change.
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Masters Degrees core courses
A key part of our Masters programmes curriculum.
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Understanding International Macroeconomy
Study the forces that shape the corporate environment, the context within which firms operate and the importance of understanding macro-organisational issues. -
World Economy
World Economy PROGRAMMES WITH THIS CORE COURSE
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Understanding International Macroeconomy
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Masters Degrees electives
Optional courses providing a deep dive into specialist areas.
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Banking and Monetary Policy in the Global Economy
This course analyses the relationships between the financial system, central banks and the economy. We will explore the following questions: What purpose does the financial system serve? How are money and credit created in the modern economy? How do banks, central banks and financial markets interact? How have central bank tools and objectives evolved? How should the financial system be regulated? We will make frequent references to current debates among policy-makers and financial market participants. PROGRAMMES WITH THIS ELECTIVE
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Beijing Global Experience
Business Resilience in a Changing Climate PROGRAMMES WITH THIS ELECTIVE
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Elements of Machine Learning for Business
The objective of this course is to expose business students to applications of machine learning tools in business and finance. The course covers some of the most commonly used machine learning algorithms ranging from ridge and lasso and deep neural network for regression and classification problem to clustering and principal component dimensionality reduction. The course will end with a look at more advanced techniques commonly employed for specific tasks in economics and finance. The approach of the course is profoundly practical. For each algorithm we provide the essential theoretical intuition, most of the focus is on the practical implementation of these learning techniques. We will be using Python. No knowledge of Python is required. Students will work on the Python implementation of the various machine learning techniques to real-world data and applications in the second part of each class. PROGRAMMES WITH THIS ELECTIVE
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Understanding the Intl Macroeconomy
This course will focus on introducing you to some of the key issues in macroeconomics and international finance. We study and provide an answer to key questions, among many others: What is GDP and what does it really measure? What is the economic meaning of value added? What makes a nation succesful and what are main drivers of growth in the long run? What is money and how does it relate to inflation? The course enables students to be able to recognise and construct logical economic arguments, read macroeconomic reports, and understand when and why the government makes important policy decisions such as a change in the target interest rate or changes in the tax rate. The aim is to provide a set of general skills portable across a range of industries, professions, and countries, which will make it possible to understand the forces that will dominate the domestic and global business environment in the immediate future, as well as over the coming years. PROGRAMMES WITH THIS ELECTIVE
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Banking and Monetary Policy in the Global Economy