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This PDF is a selection from a published volume from... National Bureau of Economic Research
This PDF is a selection from a published volume from... National Bureau of Economic Research

... nanced primarily by growing domestic saving, augmented by a significant inflow of saving from abroad, reaching nearly 10 percent of GDP in 1971, and actually breaching this threshold in 1974 after the first oil shock. These inflows predominately took the form of long-term loans and trade credits fro ...
The  global  financial  crisis  and ... New Zealand – an external balance sheet analysis
The global financial crisis and ... New Zealand – an external balance sheet analysis

... from this perspective, while section 4 discusses the central role of the banking system as an intermediary for capital flows into the country and highlights the associated risks, some of which have crystallised over recent months. Section 5 briefly summarises the steps taken by the Reserve Bank and ...
mmi03-plasmans-new  223306 en
mmi03-plasmans-new 223306 en

... is the relative weight for output deviations5 and δ ∈ (0, 1) is the central bank’s constant intertemporal discount factor.6 The minimization of (5) is often called ’flexible inflation targeting’ in the literature (see Svensson (1999)). In addition, notice that b = 0 corresponds to strict inflation t ...
Balance of Payments Accounts (cont.)
Balance of Payments Accounts (cont.)

... The US is the largest debtor nation, and its foreign debt continues to grow because its current account continues to ...
Order flow and the bid-ask spread: An Empirical
Order flow and the bid-ask spread: An Empirical

... 2. Some basic results on probability distributions Screen-based trading technology constitutes an important component of modern financial markets. In this section, we present a stylized mathematical model of the quasi-book provided by any such screen-based trading system. Specifically, our goal is t ...
How to reduce negative side effects of ECB policy
How to reduce negative side effects of ECB policy

... With excess liquidity at 0, which was the case before the introduction of LTROs, TLTOs and QE, this was not an issue as banks are competing for liquidity from asset managers, corporates, individuals etc. The idea basically comes down to giving non-MFIs indirect access to the ECB through banks. With ...
comparing emerging and developed international equity markets
comparing emerging and developed international equity markets

... Like resource endowment, demography suggests emerging markets are poised for greater economic growth vis-à-vis their developed counterparts. As the chart (above-right) shows, the retirement age population is significantly greater in developed economies, and is forecasted to remain so for the decades ...
11 Saving and Investing Are Risky Business
11 Saving and Investing Are Risky Business

Global Imbalances, Current Account Rebalancing and Exchange Rate Adjustments Yavuz ARSLAN
Global Imbalances, Current Account Rebalancing and Exchange Rate Adjustments Yavuz ARSLAN

... both in research and policy circles. The backbone of the framework is a multilateral process through which root causes and the impediments to adjustment in those countries are to be identi…ed and solutions are to be recommended. Within this context, countries having large imbalances, such as USA and ...
common market for eastern - COMESA Monetary Institute
common market for eastern - COMESA Monetary Institute

...  If banks reduce their borrowing in response to a higher discount rate, the monetary base falls.  The decrease in monetary base leads to a reduction in money supply. This leads to a general rise in interest rates.  This leads to reduction in aggregate demand, via reduced investment and consumptio ...
Long memory and nonlinear mean reversion in Japanese yen
Long memory and nonlinear mean reversion in Japanese yen

T h e   R e s e r v... b u s i n e s s   c...
T h e R e s e r v... b u s i n e s s c...

... places less emphasis on the direct effect of exchange rate changes on the prices of imported goods and services that appear in the CPI than was the case in the early to mid-1990s. ...
A Fast-Track East African Community Monetary Union?
A Fast-Track East African Community Monetary Union?

Monetary Unions, External Shocks and Economic Performance
Monetary Unions, External Shocks and Economic Performance

... Political coordination across countries. ...
No. 227 Re-Evaluating Swedish Membership in EMU: Evidence
No. 227 Re-Evaluating Swedish Membership in EMU: Evidence

Levels - MTA KTI
Levels - MTA KTI

... • Concluding remarks and important caveats [In spite of Kaldor’s view (1979), there is no fundamental conflict between Kaldor 1971 and 1978. The RER is not a policy instrument; avoiding overvaluation is essential, but a growth-friendly institutional environment is more promising for promoting econom ...
Global gaps
Global gaps

... Inflation gap: de-trended CPI inflation, 16 OECD economies. Input prices: Composite JPMorgan Chase input price index covering purchases of goods for manufacturing industries, and goods and staff costs for service industries; values above ...
2009:2 Monetary policy when the interest rate is zero by Ulf
2009:2 Monetary policy when the interest rate is zero by Ulf

... One alternative that may be more effective in raising inflation expectations is a target for the price level.14 A price level target does not mean that the central bank holds prices constant over time; it can allow prices to rise. A price level target that generates 2 per cent inflation over time ca ...
PDF
PDF

... be developed within which foreign investments can be best realized. The basic direction of the strategy for attraction of foreign capital has to be focused towards those sectors that can use Serbian advantages, out of which the following ones are the most important:3 - geographic and strategic posit ...
Sources of Inflation in Developing Countries: Abstract
Sources of Inflation in Developing Countries: Abstract

... choices taken by the central bank) or from other sources (i.e., financial inflows linked to capital, external debt, or transfers which enter the domestic money supply). For some African countries, the nominal exchange rate and imported ...
15 pages - World bank documents
15 pages - World bank documents

NBER WORKING PAPER SERIES
NBER WORKING PAPER SERIES

... trap would not be of practical interest if the liquidity trap were a theoretical curiosum. There can be little doubt that the liquidity trap was perceived in this way for much if not most of the second half of the 20th century. But no longer. Means and methods for removing the zero ‡oor under the no ...
The Yen - CiteSeerX
The Yen - CiteSeerX

... the intervention timings. Table 2 shows, among others, the monthly (percent) changes in stock prices and the yen/dollar rate; quarterly growth rate, inflation rate, and the Bank of Japan view that was created in Table 1. These are relevant variables that may help explain intervention behavior as wel ...
Economic Development in Azerbaijan
Economic Development in Azerbaijan

Capital Inflows, Inflation and Exchange Rate Volatility
Capital Inflows, Inflation and Exchange Rate Volatility

... monetary target, as M3 growth rate was 15 to 16 percent during this period, was overshot and monetary base expended in both nominal and real terms. Empirical evidence shows that domestic private sector credit is the only variable that can be used effectively to control inflation in case of large cap ...
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Currency intervention

Currency intervention, also known as foreign exchange market intervention, or currency manipulation, occurs when a government buys or sells foreign currency to push the exchange rate of its own currency away from equilibrium value or to prevent the exchange rate from moving toward its equilibrium value.Generally, central banks intervene in foreign exchange markets in order to achieve a variety of overall economic objectives: controlling inflation, maintaining competitiveness, or maintaining financial stability. The precise objectives of policy and how they are reflected in currency manipulation depend on a number of factors, including the stage of a country’s development, the degree of financial market development and integration, and the country’s overall vulnerability to shocks.
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