1. The Balance of Payments
... denominated assets. As a result, there is a large positive net portfolio investment in the U.S., leading to a surplus of the KA and of the BOP. According to the theory, this excess demand for U.S. assets should lead to an appreciation of the USD. This would, in turn, make U.S. goods and assets more ...
... denominated assets. As a result, there is a large positive net portfolio investment in the U.S., leading to a surplus of the KA and of the BOP. According to the theory, this excess demand for U.S. assets should lead to an appreciation of the USD. This would, in turn, make U.S. goods and assets more ...
T M E H
... mildly inflationary. Moreover, such financial matters as the falling value of collateral for bank loans were surely affected by real events, which include effects of changing tax rates (Shimer 2009) and tariffs on the supply and productivity of labor and capital. Romer and Romer (2007) found that “e ...
... mildly inflationary. Moreover, such financial matters as the falling value of collateral for bank loans were surely affected by real events, which include effects of changing tax rates (Shimer 2009) and tariffs on the supply and productivity of labor and capital. Romer and Romer (2007) found that “e ...
Potentials and limits of monetary policy to boost growth and
... likely lead to a depreciation of the euro exchange rate by making the euro less attractive to investors via lower long-term interest rates. This is usually considered to be the strongest channel through which quantitative easing can spur growth and it will particularly felt by Southern Europe whose ...
... likely lead to a depreciation of the euro exchange rate by making the euro less attractive to investors via lower long-term interest rates. This is usually considered to be the strongest channel through which quantitative easing can spur growth and it will particularly felt by Southern Europe whose ...
Economic consequences of location: European integration and crisis recovery reconsidered Rainer Kattel
... In the case of satellite economies of Eastern Europe and Baltics, it is interesting to observe that during the crisis they did not experience significant capital outflows (which would have doomed these economies to a severe shock). However, following Jan Kregel’s work (2004), we can construct a simp ...
... In the case of satellite economies of Eastern Europe and Baltics, it is interesting to observe that during the crisis they did not experience significant capital outflows (which would have doomed these economies to a severe shock). However, following Jan Kregel’s work (2004), we can construct a simp ...
The Power of the US Dollar/Currency Exchange
... use later ◦ It can be used to measure value and relative prices ...
... use later ◦ It can be used to measure value and relative prices ...
Economic Ideas, the Monetary Order and the Uneasy Case for
... unlikely to be either widespread or durable enough to provide such rules with the lasting support they would need to be successful. As I have already noted, however, these observations do not support an “anything-goes-that-might-seem-to-work-right-now” approach to monetary policy. Michael Parkin (2 ...
... unlikely to be either widespread or durable enough to provide such rules with the lasting support they would need to be successful. As I have already noted, however, these observations do not support an “anything-goes-that-might-seem-to-work-right-now” approach to monetary policy. Michael Parkin (2 ...
Discussions over the Currency Policy in the NEP Period
... development of export should not be overestimated in the Russian reality: “In our environment, when any calculations are rather relative and significant overhead expenses push the production and selling costs up, few points deviations of the exchange rates from the desired parity can not be critical ...
... development of export should not be overestimated in the Russian reality: “In our environment, when any calculations are rather relative and significant overhead expenses push the production and selling costs up, few points deviations of the exchange rates from the desired parity can not be critical ...
Default, Devaluation and Depression: Argentina after 2001
... Duhalde was appointed as the new president in 2002, there would be a write-down of bank assets and liabilities in dollars, i.e. some ‘pesification’ of their balance sheets. But what no one predicted was an asymmetric pesification (AP) in which dollar deposits were converted to pesos at the rate of 1 ...
... Duhalde was appointed as the new president in 2002, there would be a write-down of bank assets and liabilities in dollars, i.e. some ‘pesification’ of their balance sheets. But what no one predicted was an asymmetric pesification (AP) in which dollar deposits were converted to pesos at the rate of 1 ...
June 2012
... • But many Western politicians are unable to let go of the syllogism that seemed so unassailable just a decade ago: – (1) The Chinese have joined the world economy; – (2) their wages are $0.50 an hour; – (3) there are a billion of them, and so – (4) their exports will rise without limit: “Chinese w ...
... • But many Western politicians are unable to let go of the syllogism that seemed so unassailable just a decade ago: – (1) The Chinese have joined the world economy; – (2) their wages are $0.50 an hour; – (3) there are a billion of them, and so – (4) their exports will rise without limit: “Chinese w ...
How are infrastructure stocks affected by rising interest rates?
... market conditions, but a stronger economy can mean stronger employment and greater commercial activity, which means more ...
... market conditions, but a stronger economy can mean stronger employment and greater commercial activity, which means more ...
Economic and political challenges of acceding to the euro
... • Indirect taxes and administrated prices • Energy • Lagged effective depreciation of the lat • Buoyant domestic demand associated with credit growth ...
... • Indirect taxes and administrated prices • Energy • Lagged effective depreciation of the lat • Buoyant domestic demand associated with credit growth ...
Crowding Out Redefined: The Role of Reserve Accumulation Alan M. Taylor COmmenTaRY
... don’t want to get into that argument. But even if you take the standard neoclassical model, you’re going to have growth slowing down. In the standard model, growth deceleration is monotonic and linear; in reality of course it jumps around. I took what Lant was saying as basically consistent with the ...
... don’t want to get into that argument. But even if you take the standard neoclassical model, you’re going to have growth slowing down. In the standard model, growth deceleration is monotonic and linear; in reality of course it jumps around. I took what Lant was saying as basically consistent with the ...
If Exchange Rates Are Random Walks Then Almost Everything We
... changes in short term interest rates affect the economy. All of the standard models imply that such changes in interest rates affect the economy by altering the conditional means of the macroeconomic aggregates and have no effect on the conditional variances of these aggregates. We argue that the data ...
... changes in short term interest rates affect the economy. All of the standard models imply that such changes in interest rates affect the economy by altering the conditional means of the macroeconomic aggregates and have no effect on the conditional variances of these aggregates. We argue that the data ...
Macroeconomic Policy in Southeast Asian Countries and the Global
... 2008 before resume the rising trend, which continued since 2000. When banks have large loan exposure to the export sector, the GFCadversely affected bank performance. Since the 1997 Asian financial crisis, in most Southeast Asian economies, nonperforming loans have declined steadily from 2005 to 201 ...
... 2008 before resume the rising trend, which continued since 2000. When banks have large loan exposure to the export sector, the GFCadversely affected bank performance. Since the 1997 Asian financial crisis, in most Southeast Asian economies, nonperforming loans have declined steadily from 2005 to 201 ...
Fiscal Lessons for Developed Countries
... • US deficits dependent on foreign savings, and hence on continuing global imbalances. • The tight embrace of US and Chinese economies sustained the pre-crisis ‘goldilocks’ economy. • Sustainability of the model hinges on the extant international monetary system where dollar occupies the role of the ...
... • US deficits dependent on foreign savings, and hence on continuing global imbalances. • The tight embrace of US and Chinese economies sustained the pre-crisis ‘goldilocks’ economy. • Sustainability of the model hinges on the extant international monetary system where dollar occupies the role of the ...
Downlaod File
... Most investors are risk-averse; therefore, they will not invest their capital unless there is a certain degree of predictability. They tend to evade investing in countries that are demonstrated by governmental instability. A nation whose government and economy are strongly stable will defiantly attr ...
... Most investors are risk-averse; therefore, they will not invest their capital unless there is a certain degree of predictability. They tend to evade investing in countries that are demonstrated by governmental instability. A nation whose government and economy are strongly stable will defiantly attr ...
2013/FMM/001 Opening Draft Agenda Purpose: Consideration
... are currently experiencing another turbulence as markets start to reassess some emerging market fundamentals that have led to capital outflow and falls in exchange rates and stock prices. While this has caused economic outlook for emerging markets, including Indonesia, to be revised downward, it cou ...
... are currently experiencing another turbulence as markets start to reassess some emerging market fundamentals that have led to capital outflow and falls in exchange rates and stock prices. While this has caused economic outlook for emerging markets, including Indonesia, to be revised downward, it cou ...
This PDF is a selection from a published volume from... Research Volume Title: Asset Prices and Monetary Policy
... Tommaso Monacelli’s chapter also emphasizes the role of collateral in debt markets. Monacelli points out that in an economy in which some households are borrowing-constrained, welfare increases if the constraints are relaxed. The central bank should take this effect into account when formulating opti ...
... Tommaso Monacelli’s chapter also emphasizes the role of collateral in debt markets. Monacelli points out that in an economy in which some households are borrowing-constrained, welfare increases if the constraints are relaxed. The central bank should take this effect into account when formulating opti ...
This PDF is a selection from a published volume from... Economic Research Volume Title: NBER International Seminar on Macroeconomics 2008
... Taylor rule is still a good description of monetary policy in the United States (and the euro area). Three comments are worth making regarding the use of those market‐based expectations. First, to the extent that we want to capture Fed policy, we want to have the Fed’s forecasts. It is not clear tha ...
... Taylor rule is still a good description of monetary policy in the United States (and the euro area). Three comments are worth making regarding the use of those market‐based expectations. First, to the extent that we want to capture Fed policy, we want to have the Fed’s forecasts. It is not clear tha ...
... monetary policy to stabilize economic disturbances that affect only a subset of the countries in the union. Nonetheless, member countries are still at liberty to formulate independent fiscal policies, and Galí and Monacelli tackle the question of how to design jointly optimal national fiscal policie ...
The Capitalist Conjuncture: over-accumulation
... of supremacy instead of hegemony because this historical bloc was able to gain only a fragile legitimacy for the globalist project. Thus, while neoliberal globalisation brought about ‘a growth in the structural power of capital, its contradictory consequences mean that neoliberalism has failed to ga ...
... of supremacy instead of hegemony because this historical bloc was able to gain only a fragile legitimacy for the globalist project. Thus, while neoliberal globalisation brought about ‘a growth in the structural power of capital, its contradictory consequences mean that neoliberalism has failed to ga ...
Untitled - Religare Online
... which makes the case strong for investment in gold in India. Gold when added to a portfolio results in higher risk adjusted returns as it balances a portfolio by reducing its volatility, due to its negative correlation with other asset classes. At any point of time investors are recommended to have ...
... which makes the case strong for investment in gold in India. Gold when added to a portfolio results in higher risk adjusted returns as it balances a portfolio by reducing its volatility, due to its negative correlation with other asset classes. At any point of time investors are recommended to have ...
Assessing the economic merits of joining the Euro
... the entire marketable debt of Ireland, Greece, and Portugal with some room to spare. The uncertainty as to the continued willingness of the EU governments to keep financing their fiscally challenged peers to the full capacity of the EFSF, will underscore the question of solvency. • Liquidity if prov ...
... the entire marketable debt of Ireland, Greece, and Portugal with some room to spare. The uncertainty as to the continued willingness of the EU governments to keep financing their fiscally challenged peers to the full capacity of the EFSF, will underscore the question of solvency. • Liquidity if prov ...
Business Cycle Update: Steady Global
... is the improvement in the current account balances of many deficit countries—such as India, Turkey, and Indonesia—that suffered from capital outflows during the second half of 2013 (see Exhibit 1, left). With global financial conditions stabilising and EM countries experiencing smaller financing nee ...
... is the improvement in the current account balances of many deficit countries—such as India, Turkey, and Indonesia—that suffered from capital outflows during the second half of 2013 (see Exhibit 1, left). With global financial conditions stabilising and EM countries experiencing smaller financing nee ...
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.