The State, the Market, And Development
... Metrics have become increasingly important, but wrong too focus narrowly on GDP • The International Commission on The Measurement of Economic Performance and Social Progress emphasized deficiencies in measure • (a) what we measure affects what we do and the design of policy: metrics are important; • ...
... Metrics have become increasingly important, but wrong too focus narrowly on GDP • The International Commission on The Measurement of Economic Performance and Social Progress emphasized deficiencies in measure • (a) what we measure affects what we do and the design of policy: metrics are important; • ...
PANEL
... they would be useful for the future. In concluding, let me say a couple of words about the problem that troubles me about the whole debate of Monetarists versus Keynesians. Everybody, of course, is entitled to his hypothesis. And, until the hypothesis is refuted, he is entitled to believe in it. Is ...
... they would be useful for the future. In concluding, let me say a couple of words about the problem that troubles me about the whole debate of Monetarists versus Keynesians. Everybody, of course, is entitled to his hypothesis. And, until the hypothesis is refuted, he is entitled to believe in it. Is ...
Is a Benign Dollar Policy Wise? William Poole
... different. Dollar claims on the United States are not affected by dollar depreciation, while the dollar value of U.S. assets abroad increases. The Bureau of Economic Analysis publishes regularly an analysis of the net international investment position of the United States, from which Figure 5 was ta ...
... different. Dollar claims on the United States are not affected by dollar depreciation, while the dollar value of U.S. assets abroad increases. The Bureau of Economic Analysis publishes regularly an analysis of the net international investment position of the United States, from which Figure 5 was ta ...
IOSR Journal of Economics and Finance (IOSR-JEF)
... Abstract:Dollarisation can be a path to economic stability and growth if managed properly. Governments which end up dollarising only do so as a last resort.This paper used both explanatory and empirical approach to explore the nature of currency substitution and dollarisation in Zimbabwe. The paper ...
... Abstract:Dollarisation can be a path to economic stability and growth if managed properly. Governments which end up dollarising only do so as a last resort.This paper used both explanatory and empirical approach to explore the nature of currency substitution and dollarisation in Zimbabwe. The paper ...
The Euro, the US Dollar and World Currency Markets Potential for
... Confidence. As early as February 1999, divisions between various EU governments and the ECB over interest-rate policy began to surface. Slow growth, particularly in Germany, led to calls for interest rates to be cut. The ECB was placed in an impossible position, as political pressure to cut rates g ...
... Confidence. As early as February 1999, divisions between various EU governments and the ECB over interest-rate policy began to surface. Slow growth, particularly in Germany, led to calls for interest rates to be cut. The ECB was placed in an impossible position, as political pressure to cut rates g ...
International Economic Integration
... Then a boom in B increases demand for imports in B which means that exports – and output! – in A must also rise Likewise, a slump in A can lead to a slump in B International business cycles, through trade ...
... Then a boom in B increases demand for imports in B which means that exports – and output! – in A must also rise Likewise, a slump in A can lead to a slump in B International business cycles, through trade ...
Problem Set 4
... (Answer: (A)) 2. If the dollar depreciates relative to the British pound (A) British dishes will become more expensive in the United States. (B) American computers will become less expensive in Great Britain. (C) Swiss chocolate will become cheaper in the United States. (D) Both (A) and (B) will occ ...
... (Answer: (A)) 2. If the dollar depreciates relative to the British pound (A) British dishes will become more expensive in the United States. (B) American computers will become less expensive in Great Britain. (C) Swiss chocolate will become cheaper in the United States. (D) Both (A) and (B) will occ ...
1 Great Recessions Compared James Foreman-Peck
... Reichsbank began. After further panics, some French bankers intervened to restore confidence and the Finance Minister managed to borrow from New York $50 m for one year at the high interest rate of 8.25%. The narrative suggests that Britain and France were not subject to the same financial shocks as ...
... Reichsbank began. After further panics, some French bankers intervened to restore confidence and the Finance Minister managed to borrow from New York $50 m for one year at the high interest rate of 8.25%. The narrative suggests that Britain and France were not subject to the same financial shocks as ...
Answers to Problem Set 1
... A current account deficit or surplus is a situation that may be unsustainable in the long run. There are instances in which a deficit may be warranted, for example to borrow today to improve productive capacity in order to have a higher national income tomorrow. But for any period of current account ...
... A current account deficit or surplus is a situation that may be unsustainable in the long run. There are instances in which a deficit may be warranted, for example to borrow today to improve productive capacity in order to have a higher national income tomorrow. But for any period of current account ...
Prologue -- Tearing Down Walls -- History of the International
... The third major historical influence on the IMF was the Second World War, which provided both the impetus and the context for reforming the international system. When the United States entered the war in response to the bombing of Pearl Harbor in December 1941, Treasury Secretary Henry Morgenthau Jr ...
... The third major historical influence on the IMF was the Second World War, which provided both the impetus and the context for reforming the international system. When the United States entered the war in response to the bombing of Pearl Harbor in December 1941, Treasury Secretary Henry Morgenthau Jr ...
Powerpoint document
... catastrophic failures in a market economy” Since 2007 $13 trillion in US wealth lost. Official unemployment rose by over 6 million to highest level since 1940. Collapse has huge negative effects on rest of the world. October 2008: Greenspan admits he is in a state of “shocked disbelief,” because ...
... catastrophic failures in a market economy” Since 2007 $13 trillion in US wealth lost. Official unemployment rose by over 6 million to highest level since 1940. Collapse has huge negative effects on rest of the world. October 2008: Greenspan admits he is in a state of “shocked disbelief,” because ...
Dealing with the benefits and costs - Bank for International Settlements
... In an integrated world with large international trade and capital flows, a country with an internationalised currency can enjoy many advantages. As currency internationalisation progresses, the foreign exchange risks and costs of foreign currency financing associated with foreign transactions are ex ...
... In an integrated world with large international trade and capital flows, a country with an internationalised currency can enjoy many advantages. As currency internationalisation progresses, the foreign exchange risks and costs of foreign currency financing associated with foreign transactions are ex ...
New Open Economy Macroeconomics
... parts of the world can easily transmit effects to the domestic economic environment. The short-run trade-off between inflation and unemployment, for example, becomes more obscure in the open environment leading to a rather difficult task for central bankers to implement appropriate monetary policy. ...
... parts of the world can easily transmit effects to the domestic economic environment. The short-run trade-off between inflation and unemployment, for example, becomes more obscure in the open environment leading to a rather difficult task for central bankers to implement appropriate monetary policy. ...
Sudden Stops
... Of which: First Sudden Stop, then depreciation First depreciation, then Sudden Stop ...
... Of which: First Sudden Stop, then depreciation First depreciation, then Sudden Stop ...
The Ecology of Money chapter four
... Now we've surveyed the various types of money system, we come to the exciting bit - specifying the integrated multi-currency system of the future. We have seen that three groups (commercial institutions, governments and users) can create money. Very little can be said in favour of allowing the comme ...
... Now we've surveyed the various types of money system, we come to the exciting bit - specifying the integrated multi-currency system of the future. We have seen that three groups (commercial institutions, governments and users) can create money. Very little can be said in favour of allowing the comme ...
newsletter
... With China’s annual economic growth rate continuing its slowdown, the PBOC (People’s Bank of China) has started to stimulate their economy via policy rates so as to engineer a “soft landing”. We are of the firm opinion that this will be achieved. Further monetary stimulus is anticipated until the go ...
... With China’s annual economic growth rate continuing its slowdown, the PBOC (People’s Bank of China) has started to stimulate their economy via policy rates so as to engineer a “soft landing”. We are of the firm opinion that this will be achieved. Further monetary stimulus is anticipated until the go ...
Dollar Index
... bull cycle. Both the previous two bull cycles lasted for close to 6-7 years. 1. Bull Cycle 1: The first bull cycle was from 1979 to 1985 with the dollar nearly doubling in value. A key driver for the bull market was high US real interest rates (almost 10%). The Federal Reserve under Volcker along wi ...
... bull cycle. Both the previous two bull cycles lasted for close to 6-7 years. 1. Bull Cycle 1: The first bull cycle was from 1979 to 1985 with the dollar nearly doubling in value. A key driver for the bull market was high US real interest rates (almost 10%). The Federal Reserve under Volcker along wi ...
Unit 9 Capital Account Convertibility: Benefits, Costs and Challenges
... Critics have also spelled out a number of costs associated with CAC. In the first place, an open capital account could lead to the export of domestic savings, which for capital scarce developing countries would disrupt the financing of domestic investment. Secondly, CAC could expose the economy to l ...
... Critics have also spelled out a number of costs associated with CAC. In the first place, an open capital account could lead to the export of domestic savings, which for capital scarce developing countries would disrupt the financing of domestic investment. Secondly, CAC could expose the economy to l ...
PPT
... With a strong economy, the euro looked like a good idea for all, reducing exchange rate instability and hence encouraging trade within Europe. But when the financial crisis hit some European countries harder than others, those countries could not use monetary policy to alleviate their hardship. The ...
... With a strong economy, the euro looked like a good idea for all, reducing exchange rate instability and hence encouraging trade within Europe. But when the financial crisis hit some European countries harder than others, those countries could not use monetary policy to alleviate their hardship. The ...
The EuroZone “Debt” Crisis: Another “Center” – “Periphery” Crisis
... The massive cyclicality of cross-border financial flows is not the sole problem with these flows. Besides their cyclicality– and the instability induced on both sides of the process – it has been challenged that it could be a positive force for development of the recipient countries as argued for qu ...
... The massive cyclicality of cross-border financial flows is not the sole problem with these flows. Besides their cyclicality– and the instability induced on both sides of the process – it has been challenged that it could be a positive force for development of the recipient countries as argued for qu ...
Monetary Model
... I will present two models that determine nominal exchange rates: •The monetary model: Cagan model •Lucas Model Even though the first one is an ad-hoc model, many of its predictions are implied by models with solid microfoundations, and it is the basis for work in other topics. The Lucas model is one ...
... I will present two models that determine nominal exchange rates: •The monetary model: Cagan model •Lucas Model Even though the first one is an ad-hoc model, many of its predictions are implied by models with solid microfoundations, and it is the basis for work in other topics. The Lucas model is one ...
Chapter 24 Transmission Mechanisms of Monetary Policy
... • Monetary policy does not matter at all • Three pieces of structural model evidence – Low interest rates during the Great Depression indicated expansionary monetary policy but had no effect on the economy – Empirical studies found no linkage between movement in nominal interest rates and investment ...
... • Monetary policy does not matter at all • Three pieces of structural model evidence – Low interest rates during the Great Depression indicated expansionary monetary policy but had no effect on the economy – Empirical studies found no linkage between movement in nominal interest rates and investment ...
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.