Monetary Unions, External Shocks and Economic Performance
... The main point of this “Decalogue” is that if these conditions are met, the members of the union would not need to rely heavily on (bilateral) exchange rate changes when subject to external shocks. In this case there will be a reduced need for implementing “expenditure switching policies,” and the b ...
... The main point of this “Decalogue” is that if these conditions are met, the members of the union would not need to rely heavily on (bilateral) exchange rate changes when subject to external shocks. In this case there will be a reduced need for implementing “expenditure switching policies,” and the b ...
Does Central Bank Independence Frustrate the Optimal Fiscal
... deficits and discipline the profligate tendencies of the fiscal authority, and the fiscal authority having to guess how the monetary authority would react to its fiscal policy decisions. The decades-long era of Sargent and Wallace’s “Unpleasant Monetarist Arithmetic” (1981) is over. The era of “Unpl ...
... deficits and discipline the profligate tendencies of the fiscal authority, and the fiscal authority having to guess how the monetary authority would react to its fiscal policy decisions. The decades-long era of Sargent and Wallace’s “Unpleasant Monetarist Arithmetic” (1981) is over. The era of “Unpl ...
The US-EU Relationship: How European Integration Affects US
... economies, exports as a percentage of GDP have been increasing steadily. Since, other things being equal, exports have been rising; we expect β1 to be positive. This would mean that all other things equal, the amount of exports in one year would be larger than the amount of exports in the previous y ...
... economies, exports as a percentage of GDP have been increasing steadily. Since, other things being equal, exports have been rising; we expect β1 to be positive. This would mean that all other things equal, the amount of exports in one year would be larger than the amount of exports in the previous y ...
Is Openness Inflationary? Imperfect Competition and Monetary
... The goal of this paper is to try to answer the question of whether or not increased openness to international markets is inflationary using a structural international general equilibrium model derived from microeconomic foundations. This question has been the subject of a large body of research begi ...
... The goal of this paper is to try to answer the question of whether or not increased openness to international markets is inflationary using a structural international general equilibrium model derived from microeconomic foundations. This question has been the subject of a large body of research begi ...
The revival of growth in the US when the rest... indifferently or poorly is a source of some surprise. From... THE MYTH OF A GLOBAL SAVINGS GLUT
... has its multiplier effects. The latter pushes up prices and, through the wealth effect, triggers consumption spending, Home prices rose by almost 15 per cent in the year to June 2005, the fastest in decades. The wealth effect is not new to the US. During the years of stock market boom of the second ...
... has its multiplier effects. The latter pushes up prices and, through the wealth effect, triggers consumption spending, Home prices rose by almost 15 per cent in the year to June 2005, the fastest in decades. The wealth effect is not new to the US. During the years of stock market boom of the second ...
PDF
... traders, leading to a decrease in exports as they may not want to put profits into higher uncertainty. Esquivel and Larrain (2002) found that the instability of the major traded currencies such as the DEM, USD, and JPY is transmitted to bilateral exchange rates which in turn may reduce trade flows i ...
... traders, leading to a decrease in exports as they may not want to put profits into higher uncertainty. Esquivel and Larrain (2002) found that the instability of the major traded currencies such as the DEM, USD, and JPY is transmitted to bilateral exchange rates which in turn may reduce trade flows i ...
the impact of global financial integration on
... of the global financial market. The island has been transformed from a low-income agriculture-based economy to a middle-income diversified economy with growth in tourism, industrial, and financial services sectors. During the fiscal year 1999-2000, the economy experienced remarkable growth, ranging ...
... of the global financial market. The island has been transformed from a low-income agriculture-based economy to a middle-income diversified economy with growth in tourism, industrial, and financial services sectors. During the fiscal year 1999-2000, the economy experienced remarkable growth, ranging ...
LCwasL33_en.pdf
... The leaders o f the seven most industrialized democracies met in the twenty-first summit, over the weekend in Halifax, Nova Scotia--"the poorest com er o f Canada," according to Anne Swardson, from the Washington Post. This choice o f venue was part o f a deliberate attempt by the hosts, to avoid th ...
... The leaders o f the seven most industrialized democracies met in the twenty-first summit, over the weekend in Halifax, Nova Scotia--"the poorest com er o f Canada," according to Anne Swardson, from the Washington Post. This choice o f venue was part o f a deliberate attempt by the hosts, to avoid th ...
Insights and Research | Russell Investments
... moderate 2.0-2.5% real GDP growth and a tighter labor market that helps drive inflation higher. In such an environment, we think the Fed would feel comfortable hiking four times in 2016 (i.e. at every other meeting). Indeed, that would be the most gradual hiking cycle in the modern era of U.S. monet ...
... moderate 2.0-2.5% real GDP growth and a tighter labor market that helps drive inflation higher. In such an environment, we think the Fed would feel comfortable hiking four times in 2016 (i.e. at every other meeting). Indeed, that would be the most gradual hiking cycle in the modern era of U.S. monet ...
THE YEN, THE YUAN, AND THE ASIAN CURRENCY CRISIS
... productivity in China’s industrial sector reached nearly 20% a year between 1992 and 1997, far outpacing that in the ASEAN countries. The devaluation of the yuan at the beginning of 1994 has also helped China expand its exports. Indeed, since 1992, multinationals have favored China over ASEAN as a d ...
... productivity in China’s industrial sector reached nearly 20% a year between 1992 and 1997, far outpacing that in the ASEAN countries. The devaluation of the yuan at the beginning of 1994 has also helped China expand its exports. Indeed, since 1992, multinationals have favored China over ASEAN as a d ...
How Important Are Foreign Shocks in Small Open
... Mać kowiak (2006b) investigates the impact of Japanese monetary shocks on macroeconomic variation in East Asia economies (i.e. the neighbors of Japan – Hong Kong, Korea, Malaysia, Philippines, Singapore and Thailand). Using Bayesian VAR he finds that Japanese monetary shocks account for only small f ...
... Mać kowiak (2006b) investigates the impact of Japanese monetary shocks on macroeconomic variation in East Asia economies (i.e. the neighbors of Japan – Hong Kong, Korea, Malaysia, Philippines, Singapore and Thailand). Using Bayesian VAR he finds that Japanese monetary shocks account for only small f ...
Macroeconomic Stabilisation in Central and Eastern Europe with Special
... Convertibility of the domestic currency (zloty) and expansion of international measures to protect internal convertibility, which must assume priority over price stability in the initial period • Stabilisation of liberalised prices based on standard IMF approach important role for nominal anchors as ...
... Convertibility of the domestic currency (zloty) and expansion of international measures to protect internal convertibility, which must assume priority over price stability in the initial period • Stabilisation of liberalised prices based on standard IMF approach important role for nominal anchors as ...
Chapter 20 The Foreign Exchange Market
... Foreign Exchange II • Appreciation: a currency rises in value relative to another currency • Depreciation: a currency falls in value relative to another currency • When a country’s currency appreciates, the country’s goods abroad become more expensive and foreign goods in that country become less e ...
... Foreign Exchange II • Appreciation: a currency rises in value relative to another currency • Depreciation: a currency falls in value relative to another currency • When a country’s currency appreciates, the country’s goods abroad become more expensive and foreign goods in that country become less e ...
full text
... financial regulation, and defective corporate governance. For the same reason, prevention of future crises is not a simple matter. The financial crisis began in the United States with a housing price bubble and risky mortgages. Mortgages seemed like solid investments while housing prices rose, but l ...
... financial regulation, and defective corporate governance. For the same reason, prevention of future crises is not a simple matter. The financial crisis began in the United States with a housing price bubble and risky mortgages. Mortgages seemed like solid investments while housing prices rose, but l ...
Merk Investments
... Since the Fund primarily invests in foreign currencies, changes in currency exchange rates will affect the value of what the Fund owns and the price of the Fund's shares. Investing in foreign instruments bears a greater risk than investing in domestic instruments for reasons such as volatility of cu ...
... Since the Fund primarily invests in foreign currencies, changes in currency exchange rates will affect the value of what the Fund owns and the price of the Fund's shares. Investing in foreign instruments bears a greater risk than investing in domestic instruments for reasons such as volatility of cu ...
nassif berlin conference 2009 - Hans-Böckler
... assistance of the Brazilian diplomatic body in India. The author is sincerely grateful to the diligent efforts of the diplomatic body of the Brazilian Embassy in New Delhi and the Consulate in Mumbai, especially the Minister Counselor José Carlos da Fonseca, the Counselors Pedro Terra and Eric Sogoc ...
... assistance of the Brazilian diplomatic body in India. The author is sincerely grateful to the diligent efforts of the diplomatic body of the Brazilian Embassy in New Delhi and the Consulate in Mumbai, especially the Minister Counselor José Carlos da Fonseca, the Counselors Pedro Terra and Eric Sogoc ...
Capital Flows, Financial Stability, and Monetary Policy Hakan Kara
... Equity and Bond Flows to Emerging Market Economies ...
... Equity and Bond Flows to Emerging Market Economies ...
Fluctuations in the Yen/Dollar Exchange Rate, East Asian Business
... consider this as a desirable step toward a full-blown regional monetary union. In contrast, McKinnon and Schnabl (2003) argue that such a policy makes little sense since the current “revealed preference” of most Asian countries --- including relatively large ones such as China and Korea --- is to pe ...
... consider this as a desirable step toward a full-blown regional monetary union. In contrast, McKinnon and Schnabl (2003) argue that such a policy makes little sense since the current “revealed preference” of most Asian countries --- including relatively large ones such as China and Korea --- is to pe ...
(Textbook) Behavior in Organizations, 8ed (A. B. Shani)
... the general shift toward democratic political institutions and free market economies has encouraged FDI the globalization of the world economy is having a positive impact on the volume of FDI as firms undertake FDI to ensure they have a significant presence in many regions of the world ...
... the general shift toward democratic political institutions and free market economies has encouraged FDI the globalization of the world economy is having a positive impact on the volume of FDI as firms undertake FDI to ensure they have a significant presence in many regions of the world ...
the paper - Brad DeLong`s Website
... used to identify the “treatment e¤ect”. Our data overcome this problem and yet we still …nd a statistically signi…cant, economically large and largely robust association between currency unions, regime coordination and trade. Using a gravity equation, we explain up to 70 percent of the variance in t ...
... used to identify the “treatment e¤ect”. Our data overcome this problem and yet we still …nd a statistically signi…cant, economically large and largely robust association between currency unions, regime coordination and trade. Using a gravity equation, we explain up to 70 percent of the variance in t ...
NBER WORKING PAPER SERIES MANAGING CURRENCY PEGS Stephanie Schmitt-Grohé Martín Uribe
... of countries that includes two of the largest and most developed economies in the globe, namely, Germany and France. As a consequence, for many of the emerging countries that are part of the eurozone, and for reasons that may exceed economic considerations, breaking away from the currency union may ...
... of countries that includes two of the largest and most developed economies in the globe, namely, Germany and France. As a consequence, for many of the emerging countries that are part of the eurozone, and for reasons that may exceed economic considerations, breaking away from the currency union may ...
Fixed Exchange Rates
... lose control over r. under fixed e monetary stimulus causes a loss of reserves, and fiscal stimulus causes reserves to increase. • Under flexible e monetary stimulus causes depreciation and fiscal stimulus causes an appreciation, and vice versa. Copyright © 2012 Pearson Addison-Wesley. All rights re ...
... lose control over r. under fixed e monetary stimulus causes a loss of reserves, and fiscal stimulus causes reserves to increase. • Under flexible e monetary stimulus causes depreciation and fiscal stimulus causes an appreciation, and vice versa. Copyright © 2012 Pearson Addison-Wesley. All rights re ...
Financial Flows and Open Economy Macroeconomics Prabhat Patnaik
... which has the very opposite effect, namely a contractionary effect, on the economy. The fact that it is the latter that is preferred is attributable to the hegemony of finance capital. This is an issue of immediate relevance. China and some other Asian economies are witnessing at present massive acc ...
... which has the very opposite effect, namely a contractionary effect, on the economy. The fact that it is the latter that is preferred is attributable to the hegemony of finance capital. This is an issue of immediate relevance. China and some other Asian economies are witnessing at present massive acc ...
IOSR Journal of Economics and Finance (IOSR-JEF) e-ISSN: 2321-5933, p-ISSN: 2321-5925.
... Capital account liberalization is a necessary strategy for attracting foreign private capital flows. [7], [8] suggest that liberalization of capital account would lead to global economic efficiency and facilitate the allocation of world savings to those who are able to use them most productively. It ...
... Capital account liberalization is a necessary strategy for attracting foreign private capital flows. [7], [8] suggest that liberalization of capital account would lead to global economic efficiency and facilitate the allocation of world savings to those who are able to use them most productively. It ...
International monetary systems
International monetary systems are sets of internationally agreed rules, conventions and supporting institutions, that facilitate international trade, cross border investment and generally the reallocation of capital between nation states. They provide means of payment acceptable between buyers and sellers of different nationality, including deferred payment. To operate successfully, they need to inspire confidence, to provide sufficient liquidity for fluctuating levels of trade and to provide means by which global imbalances can be corrected. The systems can grow organically as the collective result of numerous individual agreements between international economic factors spread over several decades. Alternatively, they can arise from a single architectural vision as happened at Bretton Woods in 1944.