Effects of the U.S. Quantitative Easing on a Small Open Economy
... There has been widespread concern among policy-makers in emerging economies about the effects of Quantitative Easing (QE) policies implemented in developed economies. This comes from the fact that these measures have triggered large surges in capital inflows to emerging countries, leading to exchang ...
... There has been widespread concern among policy-makers in emerging economies about the effects of Quantitative Easing (QE) policies implemented in developed economies. This comes from the fact that these measures have triggered large surges in capital inflows to emerging countries, leading to exchang ...
Financial sector reforms and interest rate
... 1992. As a result, terms of trade deteriorated with increased import prices. Earnings from exports went down with the declining export prices and reduced volumes of traditional exports. Balance of payments worsened as the current account deficit increased. At the same time, inflation rates accelerat ...
... 1992. As a result, terms of trade deteriorated with increased import prices. Earnings from exports went down with the declining export prices and reduced volumes of traditional exports. Balance of payments worsened as the current account deficit increased. At the same time, inflation rates accelerat ...
Central Bank of the Republic of Turkey No: 2006-37
... 2006 can be attributed to two major developments. First, one of the risk factors we have set out in our inflation reports, namely the change in the global liquidity conditions, has been realized. Second, there have been unexpected increases in the volatile prices such as unprocessed food, gold and e ...
... 2006 can be attributed to two major developments. First, one of the risk factors we have set out in our inflation reports, namely the change in the global liquidity conditions, has been realized. Second, there have been unexpected increases in the volatile prices such as unprocessed food, gold and e ...
Lecture 2: International Capital Flows
... foreign direct investment (FDI) Trade in capital depends on Interest rates at home and abroad Exchange rate expectations Geographical distance from trading partners Capital account policy regime Capital controls and other barriers to free flows ...
... foreign direct investment (FDI) Trade in capital depends on Interest rates at home and abroad Exchange rate expectations Geographical distance from trading partners Capital account policy regime Capital controls and other barriers to free flows ...
MEASURING EXCHANGE MARKET PRESSURE IN MONGOLIA
... flow of FDI increased 2.8 times reaching USD 1.6 billion, portfolio investments rose 13.4 times amounting to USD758.4 million, and the outstanding of private sector debt doubled reaching USD 1.1 billion. This influx of capital flows may increase our economic vulnerabilities to external shocks. Many ...
... flow of FDI increased 2.8 times reaching USD 1.6 billion, portfolio investments rose 13.4 times amounting to USD758.4 million, and the outstanding of private sector debt doubled reaching USD 1.1 billion. This influx of capital flows may increase our economic vulnerabilities to external shocks. Many ...
Case Web Questions - Financial Management,4th Edition by Suk Kim
... Census Bureau www.census.gov both contain economic data and statistics on trade. Use specific numbers from these two sites to answer the following question. “Discuss in broad terms the major changes since WWII in the trade relations between China and the United States in terms of actual balance of p ...
... Census Bureau www.census.gov both contain economic data and statistics on trade. Use specific numbers from these two sites to answer the following question. “Discuss in broad terms the major changes since WWII in the trade relations between China and the United States in terms of actual balance of p ...
The Zero Bound in an Open Economy: A Foolproof Way of Escaping from
... interest rate (since there must eventually be a real appreciation of the domestic currency, and expected real appreciation of the currency is associated with relatively low short and long domestic real interest rates); and (3) increased inflation expectations (since, with the exchange-rate peg, expe ...
... interest rate (since there must eventually be a real appreciation of the domestic currency, and expected real appreciation of the currency is associated with relatively low short and long domestic real interest rates); and (3) increased inflation expectations (since, with the exchange-rate peg, expe ...
Macroeconomic Behaviour and Economic Growth in
... maturity. Third, changes in nominal exchange rate dynamics have repercussions on the country’s economic growth. The knowledge of the precise magnitude of the pass-through effect is therefore important for the conduct of monetary policy under inflation targeting regime. Last but not least, the study ...
... maturity. Third, changes in nominal exchange rate dynamics have repercussions on the country’s economic growth. The knowledge of the precise magnitude of the pass-through effect is therefore important for the conduct of monetary policy under inflation targeting regime. Last but not least, the study ...
Vehicle Currency Use in International Trade
... In which currency should exporters set the price of their goods? When selling to a foreign market, an exporting firm has three options. It can invoice the transaction in its own currency (producer’s currency pricing, PCP), in the currency of the destination country (local currency pricing, LCP), in ...
... In which currency should exporters set the price of their goods? When selling to a foreign market, an exporting firm has three options. It can invoice the transaction in its own currency (producer’s currency pricing, PCP), in the currency of the destination country (local currency pricing, LCP), in ...
A Melton William and
... Three aspects of interest rate behavior are considered here. These are the volatility of interest rates, the response of interest rates to weekly MI announcements, and the response of interest rates to new information about inflation, economic activity, and exchange rates. Differences in the volatil ...
... Three aspects of interest rate behavior are considered here. These are the volatility of interest rates, the response of interest rates to weekly MI announcements, and the response of interest rates to new information about inflation, economic activity, and exchange rates. Differences in the volatil ...
Chapter 15 Exchange-Rate Systems and currency crises
... Countries can adopt only two of the following three policies: free capital flows, a fixed exchange rate, and an independent monetary policy. © 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distribu ...
... Countries can adopt only two of the following three policies: free capital flows, a fixed exchange rate, and an independent monetary policy. © 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distribu ...
This PDF is a selection from a published volume from... Economic Research Volume Title: Europe and the Euro
... certainly not the case that the benefits of monetary autonomy are absent if the exchange rate is driven by nonfundamental factors. Irrespective of what factors drive the exchange rate, a floating rate confers on the central bank autonomy in determination of the amount of base money in existence and ...
... certainly not the case that the benefits of monetary autonomy are absent if the exchange rate is driven by nonfundamental factors. Irrespective of what factors drive the exchange rate, a floating rate confers on the central bank autonomy in determination of the amount of base money in existence and ...
Inflation Dynamics in Selected East African Countries
... monetization of the fiscal deficit. Although commercial banks were compelled to purchase government bonds, this did not significantly slow down the rate of monetary growth. Despite decelerating to 27.0 percent in December 2011 from a high of 30.4 percent in October, inflation in Uganda is still far ...
... monetization of the fiscal deficit. Although commercial banks were compelled to purchase government bonds, this did not significantly slow down the rate of monetary growth. Despite decelerating to 27.0 percent in December 2011 from a high of 30.4 percent in October, inflation in Uganda is still far ...
“New” Views on the Optimum Currency Area Theory: What
... stable. This will in turn foster more equilibrated current account transactions and trade, and reduce the need for exchange rate adjustments. On the other hand, not all inflation differentials are necessarily problematic. Some “catching up” process by less developed countries could lead to “Balassa- ...
... stable. This will in turn foster more equilibrated current account transactions and trade, and reduce the need for exchange rate adjustments. On the other hand, not all inflation differentials are necessarily problematic. Some “catching up” process by less developed countries could lead to “Balassa- ...
ch.11
... the market value of a mutual fund share found by dividing the net value of the fund by the number of shares issued ...
... the market value of a mutual fund share found by dividing the net value of the fund by the number of shares issued ...
Chapter 18
... § Imbalances in the net capital outflow (NCO) are associated with imbalances in the trade balance (or net exports, NX), following the identity NCO = NX. § Each exchange that affects the net capital outflow, also affects net exports in the same amount. § For instance, if an economy is running a tr ...
... § Imbalances in the net capital outflow (NCO) are associated with imbalances in the trade balance (or net exports, NX), following the identity NCO = NX. § Each exchange that affects the net capital outflow, also affects net exports in the same amount. § For instance, if an economy is running a tr ...
Econometric Analysis of Money Demand in Serbia
... The demand for money function creates a background to review the effectiveness of monetary policies, as an important issue in terms of the overall macroeconomic stability. Money demand is an important indicator of growth of a particular economy. The increasing money demand mostly indicates a countr ...
... The demand for money function creates a background to review the effectiveness of monetary policies, as an important issue in terms of the overall macroeconomic stability. Money demand is an important indicator of growth of a particular economy. The increasing money demand mostly indicates a countr ...
Government report - World Trade Organization
... restored the signalling role of the rediscount rate. In the early part of 2002, the Central Bank introduced the Prime Rate as an instrument to signal the Bank's assessment of inflationary pressures and therefore, monetary policy stance. ...
... restored the signalling role of the rediscount rate. In the early part of 2002, the Central Bank introduced the Prime Rate as an instrument to signal the Bank's assessment of inflationary pressures and therefore, monetary policy stance. ...
Debt Redemption and Reserve Accumulation
... patient sovereigns were required for the equilibrium amount of reserves to become positive). As such, for realistic parameter values reserve accumulation did not increase debt sustainability. In contrast, in this present paper debt is denominated in local currency, and reserve accumulation has a su ...
... patient sovereigns were required for the equilibrium amount of reserves to become positive). As such, for realistic parameter values reserve accumulation did not increase debt sustainability. In contrast, in this present paper debt is denominated in local currency, and reserve accumulation has a su ...
5 The Short-Run IS-LM-FX Model of an Open Economy
... The table shows the extent to which the dollar and the euro were used in the invoicing of payments for exports and imports of different countries in the 2002–2004 period. In the United States, for example, 100% of exports are invoiced and paid in U.S. dollars but so, too, are 93% of imports. In Asia ...
... The table shows the extent to which the dollar and the euro were used in the invoicing of payments for exports and imports of different countries in the 2002–2004 period. In the United States, for example, 100% of exports are invoiced and paid in U.S. dollars but so, too, are 93% of imports. In Asia ...
NEW ZEALAND: THE LAST BASTION OF TEXTBOOK OPEN
... expansion might trigger a real exchange rate depreciation in models without complete international risk sharing. This suggestion has been taken up by Kollman (2010), who shows that in such a model, it is in principle possible that the positive labour supply response following a fiscal expansion will ...
... expansion might trigger a real exchange rate depreciation in models without complete international risk sharing. This suggestion has been taken up by Kollman (2010), who shows that in such a model, it is in principle possible that the positive labour supply response following a fiscal expansion will ...
Mizuho Dealer`s Eye
... 30, though both are expected to leave policy as it is. The FOMC held off from raising rates when it met in September, with FRB Chair Janet Yellen also voicing concerns about the economic situation in China and the emerging markets in her press conference. This confirmed that any decision over a U.S. ...
... 30, though both are expected to leave policy as it is. The FOMC held off from raising rates when it met in September, with FRB Chair Janet Yellen also voicing concerns about the economic situation in China and the emerging markets in her press conference. This confirmed that any decision over a U.S. ...