Uncertainty and International Banking
... negative impact on short-run hiring and investment in the manufacturing sector. Measures of uncertainty based on firm micro-data are strongly countercyclical and negatively affect economic growth. The reason might be that firms exercise an “option value of waiting”. The higher the degree of uncertai ...
... negative impact on short-run hiring and investment in the manufacturing sector. Measures of uncertainty based on firm micro-data are strongly countercyclical and negatively affect economic growth. The reason might be that firms exercise an “option value of waiting”. The higher the degree of uncertai ...
NBER WORKING PAPER SERIES Matthew Canzoneri
... these activities are costly, creating financial frictions that make monetary aggregates “matter” for economic activity. Moreover, bank deposits offer an alternative way for households to do their transacting, and the bank loans may affect aggregate supply and demand in a variety of ways, depending u ...
... these activities are costly, creating financial frictions that make monetary aggregates “matter” for economic activity. Moreover, bank deposits offer an alternative way for households to do their transacting, and the bank loans may affect aggregate supply and demand in a variety of ways, depending u ...
Keynesians and the Curious Case of Endogenous Money
... money are irrelevant: a restriction on note issue, changes to permitted reserve assets or a tightening of credit conditions by banks might all influence the total amount of bank money in an economy. All authors who have emphasised the importance of the development of credit and bank money and its im ...
... money are irrelevant: a restriction on note issue, changes to permitted reserve assets or a tightening of credit conditions by banks might all influence the total amount of bank money in an economy. All authors who have emphasised the importance of the development of credit and bank money and its im ...
Chap 27
... Correlation is not causation; money growth and inflation could be correlated because money growth causes inflation, or because inflation causes money growth, or because a third factor caused both. But the combination of historical, international, and other independent evidence gives us confidence th ...
... Correlation is not causation; money growth and inflation could be correlated because money growth causes inflation, or because inflation causes money growth, or because a third factor caused both. But the combination of historical, international, and other independent evidence gives us confidence th ...
Government guarantees and financial liabilities of state owned road
... expired, i.e. companies have paid off part of their loan obligations. ...
... expired, i.e. companies have paid off part of their loan obligations. ...
2-04 Money and Inflation
... To see why, suppose the money supply will raise in the future, but not today. – people expect higher money growth and higher inflation. – Through the Fisher effect, this increase in expected inflation raises the ...
... To see why, suppose the money supply will raise in the future, but not today. – people expect higher money growth and higher inflation. – Through the Fisher effect, this increase in expected inflation raises the ...
Goals, Guidelines, and Cans~ra~n~s Facing Mane~ary Pal~cymakers: An Overview Jeffrey C. Fuhrer*
... counsels that recent experience does not preclude effective use of a monetary aggregate in the conduct of monetary policy. He suggests that "there is a strong case for paying much more attention to M1 than has been true in recent years." Poole suggests two explanations for the breakdown between mone ...
... counsels that recent experience does not preclude effective use of a monetary aggregate in the conduct of monetary policy. He suggests that "there is a strong case for paying much more attention to M1 than has been true in recent years." Poole suggests two explanations for the breakdown between mone ...
Velocity: Money`s Second Dimension
... is held for purposes other than as a medium of exchange. The speculative motive for holding money is not directly related to expenditures, according to Keynes, but depends instead on the "liquidity preference" of asset holders. The amount of money held in speculative balances, Keynes hypothesized, d ...
... is held for purposes other than as a medium of exchange. The speculative motive for holding money is not directly related to expenditures, according to Keynes, but depends instead on the "liquidity preference" of asset holders. The amount of money held in speculative balances, Keynes hypothesized, d ...
Leverage Across Firms, Banks and Countries
... vehicles. Large banks may be somewhat more stable than investment banks due to their ability to obtain funds from depositors; nonetheless, excessive risk taking by huge “too-big-to-fail” banks, which are considered safe due to explicit deposit insurance and implicit government insurance, raises seri ...
... vehicles. Large banks may be somewhat more stable than investment banks due to their ability to obtain funds from depositors; nonetheless, excessive risk taking by huge “too-big-to-fail” banks, which are considered safe due to explicit deposit insurance and implicit government insurance, raises seri ...
INDIAN MACRO ECONOMETRIC MODELS ON MONETARY
... regulating money supply. The theory of money supply suggests that money stock can be controlled through high powered money provided the money supply function is more stable than the money demand function. The alternative available in the theoretical literature is controlling the money demand through ...
... regulating money supply. The theory of money supply suggests that money stock can be controlled through high powered money provided the money supply function is more stable than the money demand function. The alternative available in the theoretical literature is controlling the money demand through ...
Working Paper No. 86 - Levy Economics Institute of Bard College
... Since the costs of writing out the receipts was less than mining gold, goldsmith also a rational economic ...
... Since the costs of writing out the receipts was less than mining gold, goldsmith also a rational economic ...
NBER WORKING PAPER SERIES INTERNATIONAL RESERVE HOLDINGS WITH Joshua Aizenman
... in international financial markets and faced new challenges. In the aftermath of the 199798 Asian financial crises, some observers have called on emerging markets to reduce short-term external debt relative to international reserve holdings in order to lower their vulnerability to crisis. Countries ...
... in international financial markets and faced new challenges. In the aftermath of the 199798 Asian financial crises, some observers have called on emerging markets to reduce short-term external debt relative to international reserve holdings in order to lower their vulnerability to crisis. Countries ...
Relationship between E-money and Monetary Policy in Egypt Dr
... The History of E-money The year 1914 witnessed the birth of the first consumer credit card issued by Western Union. Also, its roots go back to 1918 when Federal Reserve Banks first moved accounts (i.e., manipulated book-entries to clear payment balances among themselves) via telegraph8. In 1950, Din ...
... The History of E-money The year 1914 witnessed the birth of the first consumer credit card issued by Western Union. Also, its roots go back to 1918 when Federal Reserve Banks first moved accounts (i.e., manipulated book-entries to clear payment balances among themselves) via telegraph8. In 1950, Din ...
STANDARD CHARTERED BANK (PAKISTAN) LIMITED
... Headline inflation declined to 4% by end of 2014- the lowest levels recorded in the last 11 years on the back of lower energy & food prices. This has given space for the central bank to ease monetary policy- cutting rates to 9.5% by end of 2014 and then to 8.5% in Jan 2015. This is positive for priv ...
... Headline inflation declined to 4% by end of 2014- the lowest levels recorded in the last 11 years on the back of lower energy & food prices. This has given space for the central bank to ease monetary policy- cutting rates to 9.5% by end of 2014 and then to 8.5% in Jan 2015. This is positive for priv ...
Testing Quantity Theory of Money for the Turkish Economy
... it would be a useful signal in an environment driven by productivity shocks, but using it as a signal would have adverse consequences in the presence of money demand disturbances. Likewise, Estrella and Mishkin (1997) focus on the role of monetary aggregates as information variables considering a mo ...
... it would be a useful signal in an environment driven by productivity shocks, but using it as a signal would have adverse consequences in the presence of money demand disturbances. Likewise, Estrella and Mishkin (1997) focus on the role of monetary aggregates as information variables considering a mo ...
Teaching Intermediate Macroeconomics using the 3-Equation
... that its desired output level in period one is y1 . In other words, y1 is the central bank’s aggregate demand target for period 1 as implied by the monetary rule. The M R-AD line joins point B and the zero loss point at Z where inflation is at target and output is at equilibrium. The fourth step is ...
... that its desired output level in period one is y1 . In other words, y1 is the central bank’s aggregate demand target for period 1 as implied by the monetary rule. The M R-AD line joins point B and the zero loss point at Z where inflation is at target and output is at equilibrium. The fourth step is ...
Country Program Evaluation
... It is based on a review of documentary evidence provided by the Bank and other sources, as well as information gleaned from interviews with Government officials, representatives of civil society, and Bank staff in Headquarters and in the Country Office. The evaluation is organized in the following c ...
... It is based on a review of documentary evidence provided by the Bank and other sources, as well as information gleaned from interviews with Government officials, representatives of civil society, and Bank staff in Headquarters and in the Country Office. The evaluation is organized in the following c ...
7. Medium Term Projections
... 2010, and remained below pre-crisis levels. Despite the volatile risk environment across the globe, short-term market rates came down amid falling inflation and policy rate cuts. Moreover, improved loan standards and easier access to external funds boosted the ongoing rapid credit growth during the ...
... 2010, and remained below pre-crisis levels. Despite the volatile risk environment across the globe, short-term market rates came down amid falling inflation and policy rate cuts. Moreover, improved loan standards and easier access to external funds boosted the ongoing rapid credit growth during the ...
Collateral versus project screening: a model of lazy banks
... true: by denying credit, banks may be helping borrowers avoid unwise investments. This is not a novel insight—it was stressed years ago by one of the most authoritative experts on bankruptcy law: Discharge . . . heightens creditors incentives to monitor: by providing for a right of discharge, societ ...
... true: by denying credit, banks may be helping borrowers avoid unwise investments. This is not a novel insight—it was stressed years ago by one of the most authoritative experts on bankruptcy law: Discharge . . . heightens creditors incentives to monitor: by providing for a right of discharge, societ ...
Judge Information Gaps 9.17.15
... gaps increase the probability of a widespread panic and impede the market and regulatory processes required to achieve a new equilibrium once panic takes hold. The greater the information gaps, the greater the dysfunction we should expect. The structural analysis that underlies this paper’s two clai ...
... gaps increase the probability of a widespread panic and impede the market and regulatory processes required to achieve a new equilibrium once panic takes hold. The greater the information gaps, the greater the dysfunction we should expect. The structural analysis that underlies this paper’s two clai ...
mmi12-Benassy-Quere 17769011 en
... In the wake of the 2007-09 global crisis, advanced economies suffered dramatic deteriorations of their fiscal balances, due to bank bail outs, fiscal stimulus packages and the action of automatic stabilizers. In the Euro area, this deterioration triggered a severe sovereign debt crisis. Still, prior ...
... In the wake of the 2007-09 global crisis, advanced economies suffered dramatic deteriorations of their fiscal balances, due to bank bail outs, fiscal stimulus packages and the action of automatic stabilizers. In the Euro area, this deterioration triggered a severe sovereign debt crisis. Still, prior ...
Introduction to an Alternative History of Money
... The argument is extended to the development of fiat money by noting that in the 17th century, commodity money was commonly deposited with “goldsmiths” for safekeeping against receipts called “goldsmiths’ notes.” Time and effort (now called shoe leather costs) could be saved by exchanging notes, rath ...
... The argument is extended to the development of fiat money by noting that in the 17th century, commodity money was commonly deposited with “goldsmiths” for safekeeping against receipts called “goldsmiths’ notes.” Time and effort (now called shoe leather costs) could be saved by exchanging notes, rath ...
Supervisory Shopping in the Banking Sector: When Is It Socially
... The main result of the framework is that supervisory shopping has a positive impact on social welfare when Congress can credibly commit to a no-bailout policy. The intuition is that without a bailout, bankers require a strong supervisor who can catalyze market confidence in the banking system. That, ...
... The main result of the framework is that supervisory shopping has a positive impact on social welfare when Congress can credibly commit to a no-bailout policy. The intuition is that without a bailout, bankers require a strong supervisor who can catalyze market confidence in the banking system. That, ...