Economic Ideas, the Monetary Order and the Uneasy Case for
... Economic ideas, as we shall henceforth label the state of economic understanding among the agents it is designed to serve, play a ubiquitous role in any monetary order. Most obviously, they inform the expectations on which agents’ day by day decisions are taken, but in addition they are the source o ...
... Economic ideas, as we shall henceforth label the state of economic understanding among the agents it is designed to serve, play a ubiquitous role in any monetary order. Most obviously, they inform the expectations on which agents’ day by day decisions are taken, but in addition they are the source o ...
reserve requirements and optimal chinese stabilization policy
... reserve requirements are an important policy tool for the PBOC [e.g. Ma et al. (2013)].1 Under China’s existing financial system, the Chinese government provides explicit or implicit guarantees for loans to State-owned enterprizes (SOEs) [e.g. Song et al. (2011)]. As a result, SOEs enjoy a borrowing ...
... reserve requirements are an important policy tool for the PBOC [e.g. Ma et al. (2013)].1 Under China’s existing financial system, the Chinese government provides explicit or implicit guarantees for loans to State-owned enterprizes (SOEs) [e.g. Song et al. (2011)]. As a result, SOEs enjoy a borrowing ...
Over-the-counter loans, adverse selection, and stigma in the
... funds market) at a rate higher than the one they would pay to borrow from the central bank’s discount window (Peristiani, 1998, Furfine, 2001, Darrat el al. 2004). This phenomenon is commonly explained as the result of a stigma effect attached to borrowing from the discount window. The general argume ...
... funds market) at a rate higher than the one they would pay to borrow from the central bank’s discount window (Peristiani, 1998, Furfine, 2001, Darrat el al. 2004). This phenomenon is commonly explained as the result of a stigma effect attached to borrowing from the discount window. The general argume ...
A small model of the UK economy - Office for Budget Responsibility
... In 2010, the Office for Budget Responsibility began to publish illustrative economic scenarios alongside its central forecast. Since then, the tools used to produce them have been developed. In this paper, I present a simple calibrated model of the UK economy which can be used to produce alternative ...
... In 2010, the Office for Budget Responsibility began to publish illustrative economic scenarios alongside its central forecast. Since then, the tools used to produce them have been developed. In this paper, I present a simple calibrated model of the UK economy which can be used to produce alternative ...
Mankiw 5/e Chapter 4: Money and Inflation
... the same percentage --- just like in the Quantity Theory of Money. ...
... the same percentage --- just like in the Quantity Theory of Money. ...
Read Paper - Economics
... Indeed, we view the global saving glut and the secular stagnation as two sides of the same coin the forces articulated in each theory can generate a persistent decline in the world natural rate of interest and thus create the possibility of a long lasting slump and protracted periods of a binding z ...
... Indeed, we view the global saving glut and the secular stagnation as two sides of the same coin the forces articulated in each theory can generate a persistent decline in the world natural rate of interest and thus create the possibility of a long lasting slump and protracted periods of a binding z ...
The Coming U.S. Interest Rate Tightening Cycle: Smooth Sailing or
... Context: a long-anticipated event, but still with substantial risks. Since the global financial crisis, the exceptionally accommodative monetary policy stance of the U.S. Federal Reserve (Fed) has helped support activity, bolstered asset valuations, and reduced risk premia. In addition, it has been ...
... Context: a long-anticipated event, but still with substantial risks. Since the global financial crisis, the exceptionally accommodative monetary policy stance of the U.S. Federal Reserve (Fed) has helped support activity, bolstered asset valuations, and reduced risk premia. In addition, it has been ...
Mankiw 5/e Chapter 4: Money and Inflation
... the same percentage --- just like in the Quantity Theory of Money. ...
... the same percentage --- just like in the Quantity Theory of Money. ...
Online Gambling as a Game Chager to Money Laundering 1
... criminal economy is worth less than a ’clean’ one earned in the legitimate economy (Wilson 1992) • The reason is that the dirty dollar has to be laundered to become a clean dollar – and money laundering comes with a cost • ML as an agent of the producer of crime Focus of the paper: increase the ...
... criminal economy is worth less than a ’clean’ one earned in the legitimate economy (Wilson 1992) • The reason is that the dirty dollar has to be laundered to become a clean dollar – and money laundering comes with a cost • ML as an agent of the producer of crime Focus of the paper: increase the ...
The Central Bank and Interest Rate Risk
... the level and volatility of interest rates declined even further after 1993 when the Fed decided that it would target primarily the fed funds rate as a guide for monetary policy. ...
... the level and volatility of interest rates declined even further after 1993 when the Fed decided that it would target primarily the fed funds rate as a guide for monetary policy. ...
18.6 Problems In Implementing Monetary Policy
... 18.3 Implementing Monetary Policy: Tools of the Fed ...
... 18.3 Implementing Monetary Policy: Tools of the Fed ...
Teachers Guide Lesson Twelve
... The Johnson family includes Marv (age 34), Gail (33), Andrew (8), and Molly (4). What are some investment goals that might be appropriate for this family? What types of investments might be used to achieve these goals? Common investment goals in this situation might be to create an emergency fund, t ...
... The Johnson family includes Marv (age 34), Gail (33), Andrew (8), and Molly (4). What are some investment goals that might be appropriate for this family? What types of investments might be used to achieve these goals? Common investment goals in this situation might be to create an emergency fund, t ...
Gerald P. Dwyer Jr.
... some circumstances, households would be better off if the monetary authority could generate such a surprise without affecting people’s expectations for the future. This caveat, however, is critical for the veracity of the observation. Tt is easier to see the issues in a simple, extreme fiscal policy ...
... some circumstances, households would be better off if the monetary authority could generate such a surprise without affecting people’s expectations for the future. This caveat, however, is critical for the veracity of the observation. Tt is easier to see the issues in a simple, extreme fiscal policy ...
High Yield Bonds in a Rising Rate Environment
... and Enron filed for bankruptcy. The rate on the 10-year Treasury increased by 125 basis points, leading to a 7.6% loss for Treasury investors and a 2.7% loss for investment grade corporates. Despite the short timeframe, high yield investors earned 3.9%. The longest interval of rising rates during th ...
... and Enron filed for bankruptcy. The rate on the 10-year Treasury increased by 125 basis points, leading to a 7.6% loss for Treasury investors and a 2.7% loss for investment grade corporates. Despite the short timeframe, high yield investors earned 3.9%. The longest interval of rising rates during th ...
The Wizard Test Maker
... 43. If the Federal Reseve Bank sells large amounts of government securities on the open market, then I. the monetary base will increase. II. the money supply will contract. III. the federal funds rate will rise. IV. the supply of credit will increase. (A) I and III only (D) II, III, and IV only (B) ...
... 43. If the Federal Reseve Bank sells large amounts of government securities on the open market, then I. the monetary base will increase. II. the money supply will contract. III. the federal funds rate will rise. IV. the supply of credit will increase. (A) I and III only (D) II, III, and IV only (B) ...
Rising Rates-What You Need to Know
... This chart is for illustrative purposes only and does not reflect performance of any Franklin Templeton fund. Past performance does not guarantee future results. Fund performance can be obtained at franklintempleton.com. Diversification does not guarantee a profit or protect against a loss. It’s imp ...
... This chart is for illustrative purposes only and does not reflect performance of any Franklin Templeton fund. Past performance does not guarantee future results. Fund performance can be obtained at franklintempleton.com. Diversification does not guarantee a profit or protect against a loss. It’s imp ...
Read the Full Report
... policy according to other indicators, even when the official inflation indicator might suggest a different course. But it is much harder for a central bank to adopt a restrictive monetary policy, including from a communications perspective, if its actions cannot directly be linked to its inflation-t ...
... policy according to other indicators, even when the official inflation indicator might suggest a different course. But it is much harder for a central bank to adopt a restrictive monetary policy, including from a communications perspective, if its actions cannot directly be linked to its inflation-t ...
Quantitative Easing in a Small Open Economy: An International
... Following the global financial crisis, many advanced economies have used unconventional policy measures such as quantitative easing (QE; also known as large-scale asset purchases or LSAP). Several studies have found stimulatory effects from QE in terms of lowering long-term yields and strengthening ...
... Following the global financial crisis, many advanced economies have used unconventional policy measures such as quantitative easing (QE; also known as large-scale asset purchases or LSAP). Several studies have found stimulatory effects from QE in terms of lowering long-term yields and strengthening ...
PowerPoint
... corporations”: how to distribute it to the HH and Government sector is not mentioned(?): • NFCs often have a negative net worth, because “net assets < market value of equity issued” • This reflects that shareholders value the company as a whole higher than the sum its (net) assets • The net worth th ...
... corporations”: how to distribute it to the HH and Government sector is not mentioned(?): • NFCs often have a negative net worth, because “net assets < market value of equity issued” • This reflects that shareholders value the company as a whole higher than the sum its (net) assets • The net worth th ...
A Rehabilitation of Monetary Policy in the 1950`s
... would be utilized and prices would tend to rise” (Minutes, 4 October 1955, p. 8). Again in 1959 when unemployment was 5.0 percent, Woodlief Thomas, the chief economist, said, “The economy is approaching the limits of resource utilization” (Minutes, 16 June 1959, p. 6). The members of the FOMC and th ...
... would be utilized and prices would tend to rise” (Minutes, 4 October 1955, p. 8). Again in 1959 when unemployment was 5.0 percent, Woodlief Thomas, the chief economist, said, “The economy is approaching the limits of resource utilization” (Minutes, 16 June 1959, p. 6). The members of the FOMC and th ...
“Good Governance” in Monetary Policy and the Negative Real
... focuses excessively on inflation and does not pay sufficient attention to real outcomes. The empirical evidence available so far is not able to resolve the dispute. The performance of inflation targeters seem to be for the most part favorable, but it is also subject to controversy (as I will discuss ...
... focuses excessively on inflation and does not pay sufficient attention to real outcomes. The empirical evidence available so far is not able to resolve the dispute. The performance of inflation targeters seem to be for the most part favorable, but it is also subject to controversy (as I will discuss ...
13 TIME INCONSISTENCY IN MONETARY POLICY
... Since the times of accepting the state in the economic environment, which is linked mainly with the “New Deal” programme, a polemic has been raging over the magnitude and justification of such interventions in an economy. However, a stabilisation policy, which should ensure permanently sustainable g ...
... Since the times of accepting the state in the economic environment, which is linked mainly with the “New Deal” programme, a polemic has been raging over the magnitude and justification of such interventions in an economy. However, a stabilisation policy, which should ensure permanently sustainable g ...
MacroPractice
... 78. Explain how a change in the money supply can affect the following in the short run: a. The supply of loanable funds b. Real GDP c. The price level d. The expected inflation rate 79. Describe the expectations (or Fisher) effect. 80. List and describe the four positions held by monetarists that he ...
... 78. Explain how a change in the money supply can affect the following in the short run: a. The supply of loanable funds b. Real GDP c. The price level d. The expected inflation rate 79. Describe the expectations (or Fisher) effect. 80. List and describe the four positions held by monetarists that he ...
Information Asymmetry, Relationship Banking and Financing Costs
... Bank lending is crucially important for economic growth and development. Only strong and healthy banks can provide sufficient loans for expanding firms. In addition, small and medium enterprises (SMEs) cannot easily substitute bank loans with corporate debt during a credit crunch (Giesecke et al., 2 ...
... Bank lending is crucially important for economic growth and development. Only strong and healthy banks can provide sufficient loans for expanding firms. In addition, small and medium enterprises (SMEs) cannot easily substitute bank loans with corporate debt during a credit crunch (Giesecke et al., 2 ...
Optimal Monetary Policy in a Currency Area
... distortion that induces an inefficient level of output; ii) inflation in each region that creates an inefficient dispersion of prices and iii) price stickiness that may create a non-efficient path of the terms of trade in response to asymmetric disturbances. By using a deadweight loss evaluation, as in mo ...
... distortion that induces an inefficient level of output; ii) inflation in each region that creates an inefficient dispersion of prices and iii) price stickiness that may create a non-efficient path of the terms of trade in response to asymmetric disturbances. By using a deadweight loss evaluation, as in mo ...