New Zealand’s short- and medium-term real implications
... This section looks at medium term volatility in real exchange rates. The measures we consider indicate that New Zealand has had both longer and larger upswings and downswings than most other countries in our sample. Appendix A shows the identified real exchange rate turning points for each country f ...
... This section looks at medium term volatility in real exchange rates. The measures we consider indicate that New Zealand has had both longer and larger upswings and downswings than most other countries in our sample. Appendix A shows the identified real exchange rate turning points for each country f ...
Petroleum Argus White Paper Argus Jet Fuel Prices in
... Spot prices are usually set based on crude and diesel assessments, the jet fuel supply-demand balance, regional supply limitations and export netback. When the market is quiet, traders are asked to evaluate prices based on the same factors. The netback logic for jet fuel works in part because of the ...
... Spot prices are usually set based on crude and diesel assessments, the jet fuel supply-demand balance, regional supply limitations and export netback. When the market is quiet, traders are asked to evaluate prices based on the same factors. The netback logic for jet fuel works in part because of the ...
a comparison of the classical black-scholes model
... in a frictionless market. Arbitrage is generally defined as ’the simultaneous purchase and sale of the same securities, commodities or foreign exchange in different markets to profit from unequal prices’ Any no arbitrage argument for pricing a derivative is ultimately based on a replication strategy, w ...
... in a frictionless market. Arbitrage is generally defined as ’the simultaneous purchase and sale of the same securities, commodities or foreign exchange in different markets to profit from unequal prices’ Any no arbitrage argument for pricing a derivative is ultimately based on a replication strategy, w ...
Document
... as graphs for a limited number of countries. The graphs show the number of units of foreign currency that can be purchased for one US dollar for a five (or more) year period. The New York Federal Reserve provides daily reports of current rates for many countries. The exchange rate is reported as u ...
... as graphs for a limited number of countries. The graphs show the number of units of foreign currency that can be purchased for one US dollar for a five (or more) year period. The New York Federal Reserve provides daily reports of current rates for many countries. The exchange rate is reported as u ...
Some Financial Stability Indicators for Brazil
... asset growth during booms. During a lending boom, high bank pro…tability and low measured risks tend to bolster bank capital ratios. However, as pointed out in Hahm, Mishkin, Shin and Shin (2012), experience has shown repeatedly that rapid loan growth is achieved only at the cost of lowering lending ...
... asset growth during booms. During a lending boom, high bank pro…tability and low measured risks tend to bolster bank capital ratios. However, as pointed out in Hahm, Mishkin, Shin and Shin (2012), experience has shown repeatedly that rapid loan growth is achieved only at the cost of lowering lending ...
PDF
... The index can be understood as the percentage decline in average profit margins of trade exposed producers over the time period of the index. That is, if the value of the index is 100 in 2001 and 28 in November of 2008, then profit margins have declined by 72% on average over the period. This is a ...
... The index can be understood as the percentage decline in average profit margins of trade exposed producers over the time period of the index. That is, if the value of the index is 100 in 2001 and 28 in November of 2008, then profit margins have declined by 72% on average over the period. This is a ...
Should Gold-Exporters Peg Their Currencies to
... The decline in prices was particularly strong when expressed in terms of dollars, for the same reason we have just seen: the dollar appreciated between 1995 and 1997. But, while the strong dollar was wreaking havoc on Argentina, Thailand, and other countries linked to the dollar, Chile was in a much ...
... The decline in prices was particularly strong when expressed in terms of dollars, for the same reason we have just seen: the dollar appreciated between 1995 and 1997. But, while the strong dollar was wreaking havoc on Argentina, Thailand, and other countries linked to the dollar, Chile was in a much ...
The Fluctuating Canadian Dollar
... dollar, there are fixed exchange rates across provinces. In his view, it might make sense to have fixed exchange rates between some countries, including – for example – Canada and the United States. He explained that floating exchange rates can lead to large and unpredictable fluctuations in the Can ...
... dollar, there are fixed exchange rates across provinces. In his view, it might make sense to have fixed exchange rates between some countries, including – for example – Canada and the United States. He explained that floating exchange rates can lead to large and unpredictable fluctuations in the Can ...
(1994) "The P-star model in five small economies,"
... deviations from long-run equilibrium. HPS (1991) originally applied a version of equation 4 to quarterly U.S. data. They use M2 as the money stock and assume that the corresponding equilibrium velocity is a constant.4 HPS conclude that the model is supported by the data.’~Hoeller and Poret (1991) ex ...
... deviations from long-run equilibrium. HPS (1991) originally applied a version of equation 4 to quarterly U.S. data. They use M2 as the money stock and assume that the corresponding equilibrium velocity is a constant.4 HPS conclude that the model is supported by the data.’~Hoeller and Poret (1991) ex ...
NBER WORKING REAL A SELECTIVE SURVEY Rudiger Dornbusch
... rate movements is less than satisfactory. Most models have lost their ability to explain what has happened, when exchange rates moved a lot, as in ...
... rate movements is less than satisfactory. Most models have lost their ability to explain what has happened, when exchange rates moved a lot, as in ...
Monetary Policy Strategies in the Asia and Pacific Region: What
... supportive of the pursuit of price stability, in particular the adoption of prudent fiscal policies that have reduced concerns of fiscal dominance. The financial systems in the region have also held up well in the face of the current crisis, notwithstanding more adverse liquidity conditions in sever ...
... supportive of the pursuit of price stability, in particular the adoption of prudent fiscal policies that have reduced concerns of fiscal dominance. The financial systems in the region have also held up well in the face of the current crisis, notwithstanding more adverse liquidity conditions in sever ...
The Credit Channel in Middle Income Countries
... debt in foreign currency. Along the equilibrium path the amplification mechanism works as follows. An increase in the domestic lending rate leads to higher debt service obligations and thus implies that firms can now borrow less at each level of net worth. Lower borrowing results in lower investment ...
... debt in foreign currency. Along the equilibrium path the amplification mechanism works as follows. An increase in the domestic lending rate leads to higher debt service obligations and thus implies that firms can now borrow less at each level of net worth. Lower borrowing results in lower investment ...
NBER WORKING PAPER SERIES THE DOLLAR AND ITS DISCONTENTS Olivier Jeanne
... indirectly (through asset-backed securities or by holding claims on the US financial sector). And indeed, foreign central banks were diversifying their reserve portfolio away from Treasuries and into other forms of US debt before the crisis.5 This trend of diversification was interrupted by the cris ...
... indirectly (through asset-backed securities or by holding claims on the US financial sector). And indeed, foreign central banks were diversifying their reserve portfolio away from Treasuries and into other forms of US debt before the crisis.5 This trend of diversification was interrupted by the cris ...
INSTITUTE FOR MONETARY AND ECONOMIC STUDIES BANK OF
... monetary policy. In contrast, both the inflation rate and short-term interest rates are virtually zero percent in Japan; there is no room left for further interest rate reduction in the current situation to raise inflationary expectations. Thus, BOJ’s Policy Board members face the problem of whether ...
... monetary policy. In contrast, both the inflation rate and short-term interest rates are virtually zero percent in Japan; there is no room left for further interest rate reduction in the current situation to raise inflationary expectations. Thus, BOJ’s Policy Board members face the problem of whether ...
Weekly FX Insight
... • Rising political uncertainty from the election may cause negative impact on UK economy in the short term. • However, in our view, this may not cause the BOE to ease monetary policy. The central bank may keep the interest rate unchanged until 2019. ...
... • Rising political uncertainty from the election may cause negative impact on UK economy in the short term. • However, in our view, this may not cause the BOE to ease monetary policy. The central bank may keep the interest rate unchanged until 2019. ...
Exchange rate, income distribution and technical change - unu
... share of the world’s official gold reserves. However, during the 1960s, this scenario began to drastically change. The low interest rates employed by the US government drained out their gold reserves, thereby reducing their financial account surplus. Besides, the Vietnam Warrelated expenditures and ...
... share of the world’s official gold reserves. However, during the 1960s, this scenario began to drastically change. The low interest rates employed by the US government drained out their gold reserves, thereby reducing their financial account surplus. Besides, the Vietnam Warrelated expenditures and ...
Economic Policy in Dollarized Economies with Special Review of
... The term “Dollarization”, that is, “Euroisation”2, implies several different monetary systems sharing one common characteristic – the broad use of a foreign currency as the means of exchange for formal or informal transactions. It is undeniable that the two most widespread currencies are the USD and ...
... The term “Dollarization”, that is, “Euroisation”2, implies several different monetary systems sharing one common characteristic – the broad use of a foreign currency as the means of exchange for formal or informal transactions. It is undeniable that the two most widespread currencies are the USD and ...
Press release - Financial Stability Board
... In the letter, the FSB Chair notes that more difficult economic and financial conditions since the start of this year reflect in part downward revisions to the expected medium-term growth prospects of the world economy as a result of renewed appreciation of the structural challenges facing a number ...
... In the letter, the FSB Chair notes that more difficult economic and financial conditions since the start of this year reflect in part downward revisions to the expected medium-term growth prospects of the world economy as a result of renewed appreciation of the structural challenges facing a number ...
exchange rate pass-through in india
... analysis of developing countries. Theoretically, devaluation of home currency leads to an increase in import prices in terms of home currency. Following home country currency depreciation, price of imports in home country currency rises which in turn reduces the domestic demand for imports and resul ...
... analysis of developing countries. Theoretically, devaluation of home currency leads to an increase in import prices in terms of home currency. Following home country currency depreciation, price of imports in home country currency rises which in turn reduces the domestic demand for imports and resul ...
an evaluation of the contractionary devaluation
... firms with high liability dollarization those results are reversed. Domac (1997) reaches the same conclusion looking at the Turkish economy over 1960-1990. Recently, many empirical studies resort to micro-level data to assess the impact of real exchange rate depreciations in the presence of currenc ...
... firms with high liability dollarization those results are reversed. Domac (1997) reaches the same conclusion looking at the Turkish economy over 1960-1990. Recently, many empirical studies resort to micro-level data to assess the impact of real exchange rate depreciations in the presence of currenc ...
Europe`s Great Depression: coordination failure
... behaviour of 26 central banks over the period 1922–38 Nurkse (1944, pp. 68ff.) found that in more than 60 per cent of all cases central banks were apparently trying to offset changes between their international and domestic assets. When this new monetary system was put to the test in 1929 it failed ...
... behaviour of 26 central banks over the period 1922–38 Nurkse (1944, pp. 68ff.) found that in more than 60 per cent of all cases central banks were apparently trying to offset changes between their international and domestic assets. When this new monetary system was put to the test in 1929 it failed ...
AND REAL EXCHANGE RATES THE CASE OF CHILE 1973—83
... inflows the domestic and foreign interest rates spread. Between January 1981 and March 1982 this relationship, however, basically disappeared. 10/ If capital inflows didn't respond to interest rate differentials, what explains, ...
... inflows the domestic and foreign interest rates spread. Between January 1981 and March 1982 this relationship, however, basically disappeared. 10/ If capital inflows didn't respond to interest rate differentials, what explains, ...
