Monetary economics - University of London International Programmes
... policymaking. Topics include i) time inconsistency in monetary policy design, ii) monetary policy in an uncertain environment such as data and parameter uncertainties that monetary policy makers face and how policy makers can alleviate problems associated with these uncertainties and iii) term struc ...
... policymaking. Topics include i) time inconsistency in monetary policy design, ii) monetary policy in an uncertain environment such as data and parameter uncertainties that monetary policy makers face and how policy makers can alleviate problems associated with these uncertainties and iii) term struc ...
Keynesians and the Curious Case of Endogenous Money
... conventional money, has been relatively stable.3 That may well be, but only because, in the historical periods observed, the supply of money was unstable. In other words, in one way or another, an increased demand for money evoked an increase in supply. The money supply “accommodated itself” to the ...
... conventional money, has been relatively stable.3 That may well be, but only because, in the historical periods observed, the supply of money was unstable. In other words, in one way or another, an increased demand for money evoked an increase in supply. The money supply “accommodated itself” to the ...
Inflation Targeting under Imperfect Knowledge Athanasios Orphanides John C. Williams *
... Although inflation-targeting central banks stress these key elements, the literature that studies inflation targeting in the context of formal models largely describes inflation targeting in terms of the solution to an optimization problem within the confines of a linear rational expectations model. ...
... Although inflation-targeting central banks stress these key elements, the literature that studies inflation targeting in the context of formal models largely describes inflation targeting in terms of the solution to an optimization problem within the confines of a linear rational expectations model. ...
1 Milton Friedman`s Monetary Economics and the Quantity
... Friedman’s article "The Demand for Money: Some Theoretical and Empirical Results," which appeared in the Journal of Political Economy in 1959, was one of the first empirical studies of money demand. It ushered in what eventually became a voluminous literature on the subject, much of it replicating a ...
... Friedman’s article "The Demand for Money: Some Theoretical and Empirical Results," which appeared in the Journal of Political Economy in 1959, was one of the first empirical studies of money demand. It ushered in what eventually became a voluminous literature on the subject, much of it replicating a ...
integrating europe`s retail banking market
... In lending, the degree of integration is highest in lending to corporations. There is some integration in mortgage lending. The lowest level of integration is found in consumer credit. ...
... In lending, the degree of integration is highest in lending to corporations. There is some integration in mortgage lending. The lowest level of integration is found in consumer credit. ...
Sophisticated Monetary Policies
... when the detection error is small and converge to the desired equilibria as the detection error goes to zero. The approach proposed here suggests an operational guide to policymaking. First use the Ramsey approach to determine the best competitive equilibrium, and then check whether in that situati ...
... when the detection error is small and converge to the desired equilibria as the detection error goes to zero. The approach proposed here suggests an operational guide to policymaking. First use the Ramsey approach to determine the best competitive equilibrium, and then check whether in that situati ...
1 Nowcasting Nominal GDP with the Credit
... been included in measures of the money supply. The reason is accounting conventions, which do not permit adding liabilities, such as credit card balances, to assets, such as money. However, economic aggregation theory and index number theory measure service flows and are based on microeconomic theor ...
... been included in measures of the money supply. The reason is accounting conventions, which do not permit adding liabilities, such as credit card balances, to assets, such as money. However, economic aggregation theory and index number theory measure service flows and are based on microeconomic theor ...
Credit Creation and its Contribution to Financial Crises
... associated with neoclassical economics, with the Keynesian approach to macroeconomics. ...
... associated with neoclassical economics, with the Keynesian approach to macroeconomics. ...
Exiting from QE,
... Markov-switching SVAR to Japanese monthly data. They find that the probability of the second state was very high in most of the months since the late 1990s. For those months, the IR of output to an increase in the base money is positive and persistent. Because the regime is chosen by the central ban ...
... Markov-switching SVAR to Japanese monthly data. They find that the probability of the second state was very high in most of the months since the late 1990s. For those months, the IR of output to an increase in the base money is positive and persistent. Because the regime is chosen by the central ban ...
Monetary policy, the financial cycle and ultra
... The dynamics of the system are critical for our results. They reveal that financial factors can have a very persistent impact on output. Specifically, the interaction of the leverage and debt service gaps gives rise to endogenous economic cycles that can have permanent output effects. And they reve ...
... The dynamics of the system are critical for our results. They reveal that financial factors can have a very persistent impact on output. Specifically, the interaction of the leverage and debt service gaps gives rise to endogenous economic cycles that can have permanent output effects. And they reve ...
Money, Liquidity, Credit, and Debt
... substitutes for the medium of exchange, can be included in broad money. 6.11. Financial instruments that are widely used as a medium of exchange include currency (coins and banknotes) as well as transferable deposits with DCs. Close substitutes for the medium of exchange include financial instrument ...
... substitutes for the medium of exchange, can be included in broad money. 6.11. Financial instruments that are widely used as a medium of exchange include currency (coins and banknotes) as well as transferable deposits with DCs. Close substitutes for the medium of exchange include financial instrument ...
paper - University of Oxford, Department of Economics
... We distinguish a number of stages of the policy making process, from its ultimate objectives, through forecasting, to the public evaluation of decisions. A number of differences in the areas and form of delegation are discussed. This raises the question of whether these differences might stem fro ...
... We distinguish a number of stages of the policy making process, from its ultimate objectives, through forecasting, to the public evaluation of decisions. A number of differences in the areas and form of delegation are discussed. This raises the question of whether these differences might stem fro ...
T h e e f f e c... t h e p e r f o...
... uncertainty regarding the true structure of the economy, simple rules may be more robust. The inflation and output stabilisation properties of three classes of simple rules are examined. The first class is inflation-forecast-based rules (IFB). This class of rule is currently used by several inflatio ...
... uncertainty regarding the true structure of the economy, simple rules may be more robust. The inflation and output stabilisation properties of three classes of simple rules are examined. The first class is inflation-forecast-based rules (IFB). This class of rule is currently used by several inflatio ...
Understanding the Greenspan Standard
... For years now, U.S. monetary policy has been said to be on “the Greenspan standard,” meaning that it is whatever Alan Greenspan thinks it should be. Similarly, the so-called nominal anchor for U.S. monetary policy has been neither the money supply nor any sort of inflation target, but rather the Gre ...
... For years now, U.S. monetary policy has been said to be on “the Greenspan standard,” meaning that it is whatever Alan Greenspan thinks it should be. Similarly, the so-called nominal anchor for U.S. monetary policy has been neither the money supply nor any sort of inflation target, but rather the Gre ...
Sources of Real Exchange Rate Fluctuations in Transition Economies
... 1994, when the weights for the reference basket changed to 70% ECU and 30% U.S. dollar. Monetary policy included active exchange rate management based on a currency peg with a narrow band of permitted fluctuations (Kutan and Brada, ...
... 1994, when the weights for the reference basket changed to 70% ECU and 30% U.S. dollar. Monetary policy included active exchange rate management based on a currency peg with a narrow band of permitted fluctuations (Kutan and Brada, ...
Monetary and Fiscal Policy Interactions in Nigeria
... An examination of the monetary-fiscal policy interactions within the FTPL framework is essential for a country like Nigeria, where government’s fiscal deficits as a ratio of GDP have largely been significant, averaging around 3.89 and government’s debt as a proportion of GDP has fluctuated between 9 ...
... An examination of the monetary-fiscal policy interactions within the FTPL framework is essential for a country like Nigeria, where government’s fiscal deficits as a ratio of GDP have largely been significant, averaging around 3.89 and government’s debt as a proportion of GDP has fluctuated between 9 ...
Seminar Paper No. 688 INDICATOR VARIABLES FOR OPTIMAL POLICY by
... principles for e¢cient estimation and signal extraction are well known. But in the more realistic case where important indicator variables are forward-looking variables, the problem of e¢cient signal-extraction is inherently more complicated. The purpose of this paper is to clarify the principles fo ...
... principles for e¢cient estimation and signal extraction are well known. But in the more realistic case where important indicator variables are forward-looking variables, the problem of e¢cient signal-extraction is inherently more complicated. The purpose of this paper is to clarify the principles fo ...
Outside the Band: Depreciation and Inflation Dynamics in Chile
... economies frequently exposed to terms of trade shocks, such as Chile (De Gregorio and others, 2005). Exchange rate movements generate relative price adjustments between traded and non-traded goods, leading to resource reallocation and mitigating the impact on output from external real shocks. Specif ...
... economies frequently exposed to terms of trade shocks, such as Chile (De Gregorio and others, 2005). Exchange rate movements generate relative price adjustments between traded and non-traded goods, leading to resource reallocation and mitigating the impact on output from external real shocks. Specif ...
Chapter 3. The Money Demand Function
... dividing each of those by the estimate of coefficient of adjustment, given by the coefficient of the lagged dependent variable.3 Though this type of “theory” based specification of money demand function has been criticized on the ground that the lag structure of the model is unduly constrained at th ...
... dividing each of those by the estimate of coefficient of adjustment, given by the coefficient of the lagged dependent variable.3 Though this type of “theory” based specification of money demand function has been criticized on the ground that the lag structure of the model is unduly constrained at th ...
Price deflation, money demand, and monetary policy discontinuity: a
... relied on fixed rates and was linked to gold, the Dollar-reserve arrangement of the Bretton Woods system allowed the United States to gradually inflate its price level as it generated balance of payments deficits that backed up the currencies of other nations. Furthermore, countries were willing to ...
... relied on fixed rates and was linked to gold, the Dollar-reserve arrangement of the Bretton Woods system allowed the United States to gradually inflate its price level as it generated balance of payments deficits that backed up the currencies of other nations. Furthermore, countries were willing to ...
The Monetary System
... one bank loans money, that money is generally deposited into another bank. This creates more deposits and more reserves to be lent out. When a bank makes a loan from its reserves, the money supply increases. Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc. ...
... one bank loans money, that money is generally deposited into another bank. This creates more deposits and more reserves to be lent out. When a bank makes a loan from its reserves, the money supply increases. Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc. ...
Cosmos Coinage Code
... currency approaches. Central banks adopt open market operations to promote capital mobility and to cushion arbitrage forces that align the rate of return in different currencies. The central banks policies on interest and funds rate aim to encompass future coinage depreciation or appreciation as wel ...
... currency approaches. Central banks adopt open market operations to promote capital mobility and to cushion arbitrage forces that align the rate of return in different currencies. The central banks policies on interest and funds rate aim to encompass future coinage depreciation or appreciation as wel ...
Chapters 1-12, 14: Managerial International Macroeconomics
... Before we start I need to ask a question — Are you a bad person? This is not a joke. It is actually quite serious. Are you a well-intentioned person? Just remember the answer for the discussion below. The section uses the allegory of a babysitting cooperative to explain how the economy works and how ...
... Before we start I need to ask a question — Are you a bad person? This is not a joke. It is actually quite serious. Are you a well-intentioned person? Just remember the answer for the discussion below. The section uses the allegory of a babysitting cooperative to explain how the economy works and how ...
Foreign Monetary Policy and Firms` Default Risk
... Is there a relationship between foreign monetary policy and the default risk of domestic firms? The current economic landscape characterized by a globalized economy and the active use of monetary policy instruments highlights the need of an answer to such question. Unlike the comprehensive literatu ...
... Is there a relationship between foreign monetary policy and the default risk of domestic firms? The current economic landscape characterized by a globalized economy and the active use of monetary policy instruments highlights the need of an answer to such question. Unlike the comprehensive literatu ...
Macroeconomic Surprises and Stock Returns in South Africa
... 4 In January 2009 the SARB began to use the CPI rather than the CPIX as its official proxy for inflation. Between 2005 and 2008 steps had been taken to improve the CPI basket, and by 2009 it was deemed to be the most comprehensive measure of the cost of living in South Africa and a more appropriate ...
... 4 In January 2009 the SARB began to use the CPI rather than the CPIX as its official proxy for inflation. Between 2005 and 2008 steps had been taken to improve the CPI basket, and by 2009 it was deemed to be the most comprehensive measure of the cost of living in South Africa and a more appropriate ...