Traineeship – PhD level European Central Bank

Reference: 2012-119-TRA-EXT

Function

The Directorate General Economics of the European Central Bank (ECB) is seeking applications from postgraduate students who have recently received a PhD, or who are close to completing their PhD studies in economics and are interested in participating in a traineeship programme. The traineeship will be with the Fiscal Policies Division for a period of three months in 2013.
The Fiscal Policies Division is responsible for monitoring, analysing and assessing the national fiscal policies of the Member States of the European Union (EU) and the euro area fiscal stance, as well as for providing fiscal forecasts. The functions of the Division include:

• monitoring and assessing national budgetary plans in the stability and convergence programmes of Member States, including their implementation in annual budget laws;
• monitoring and forecasting budgetary developments (including government financial operations), in close cooperation with national central banks;
• assessing structural and institutional fiscal policy issues (including issues related to the Stability and Growth Pact, tax and expenditure policies, social security reforms, the quality of public finances and the role of fiscal institutions);
• assessing the long-term sustainability of public finances (including the budgetary consequences of financial stability operations and population ageing);
• conducting analytical studies on current and structural public finance issues, both from an EU cross-country and a euro area-wide perspective;
• providing secretariat services to the Working Group on Public Finance of the Monetary Policy Committee of the European System of Central Banks (ESCB);
• preparing the external communication of the views of the ECB as well as of the Eurosystem/ESCB on the fiscal policies of EU Member States and the euro area fiscal stance.

The purpose of the traineeship is to carry out analytical projects, either in collaboration with or under the supervision of staff members, while gaining experience in the tasks performed by the team. Trainees will also have the opportunity to submit the resulting papers for publication in the ECB Working Paper Series and academic journals. Applicants are requested to indicate which of the following analytical projects they would prefer to contribute to:

1. EU/euro area fiscal governance and national fiscal institutions

The trainee will help to analyse the appropriate institutions which support sound and sustainable fiscal policies and the smooth functioning of Economic and Monetary Union (EMU). Projects could cover the following: (i) the implications of EU governance reform for fiscal discipline and fiscal sustainability; (ii) the impact of national fiscal institutions, balanced budget rules and spending rules on fiscal discipline and macroeconomic outcomes.
A sound knowledge of the institutional framework of EMU, as well as of recent European institutional developments, in particular those related to fiscal policies, is necessary. A good understanding of national fiscal institutions would be an asset.

2. Fiscal policy in empirical and theoretical macroeconomic models

The trainee will help to analyse the macroeconomic effects of fiscal policies in the euro area. Projects could cover the following: (i) the transmission of fiscal policy measures in the euro area, with a particular focus on the estimation of fiscal policy multipliers (based on DSGE, SVAR, factor models) and on the effects and design of fiscal consolidations; (ii) the interaction between the single monetary policy and national fiscal policies in EMU; (iii) the development of tools for fiscal forecasting, with an emphasis on the use of intra-annual fiscal information; (iv) country analysis of fiscal policy challenges. Advanced knowledge of dynamic general equilibrium theory and time series econometrics would be an asset.

3. Government debt and fiscal sustainability

The trainee will help to analyse various aspects of longer-term fiscal sustainability. Projects could cover the following: (i) enhancing the tools for analysing fiscal sustainability; (ii) the impact of demographic trends and pension and health care reforms on fiscal sustainability; (iii) government debt management and fiscal vulnerabilities.
A theoretical and/or empirical background in these areas, as well as experience with simulation models is essential. Expertise in applied modelling and econometric techniques would be an asset.

4. Fiscal policy and financial stability

The trainee will help to assess the relationships between fiscal policy and financial stability, asset prices and financing conditions. Projects could cover the following: (i) the link between financial stability and fiscal policies; (ii) analysis of the interaction between fiscal policies and asset prices, including house prices, equity prices and household and corporate balance sheets and private indebtedness; (iii) effects of government support to financial institutions, risks from state guarantees and the recovery rates on financing conditions.
A sound knowledge of applied modelling and econometric techniques, especially time series analysis, is necessary.

5. Public finances and macroeconomic performance

The trainee will help to analyse the role played by the composition and quality of public finances in macroeconomic performance and economic growth. Projects could cover the following: (i) growth impact of fiscal consolidation; (ii) links between fiscal policy and macroeconomic imbalances at the individual country and regional level; (iii) tax and social security reforms, supply conditions and long-term economic performance.
A sound knowledge of applied modelling and econometric techniques, especially panel data and time series analysis, is necessary.

Qualifications and experience

Applicants must have the following knowledge and competencies:

• a PhD in economics; a publication list on issues falling within the Division’s field of responsibility, being deemed to be an asset;
• a very good knowledge of English, and a satisfactory knowledge of one other official language of the EU;
• computer literate and able to handle different software applications, with knowledge of econometric packages such as Matlab, Stata, Eviews, being deemed to be an asset.

Competencies

The successful candidate will have the following behavioural competencies:

• analyses complex datasets from a variety of sources;
• creates a theoretical framework which aids the deployment of practical solutions;
• pursues projects with energy and drive.

Closing Date for Applications: 15.01.2013

Further Information

Traineeship for three months.

How to apply

Applications are to be made in English and submitted using our online application form. An "Applicants' Guide" can be downloaded from our recruitment pages.
The recruitment process may include a pre-screening exercise and a telephone interview.
Before applying, applicants should check that they meet the conditions set out in Article 3 of the rules governing the traineeship programme: https://www.ecb.europa.eu/ecb/jobs/pdf/coe_traineeship.pdf.
Further information on the ECB's traineeships can be found at https://www.ecb.europa.eu/ecb/jobs/apply/html/index.en.html.
Applicants are accepted from nationals of the Member States of the European Union and Croatia.