1 Exchange Rates and Prices in the Long Run
... Inflation Differentials and the Exchange Rate, 1975-2005 This scatterplot shows the relationship between the rate of exchange rate depreciation against the U.S. dollar and the inflation differential against the United States over the long run, for a sample of 82 countries. The correlation between th ...
... Inflation Differentials and the Exchange Rate, 1975-2005 This scatterplot shows the relationship between the rate of exchange rate depreciation against the U.S. dollar and the inflation differential against the United States over the long run, for a sample of 82 countries. The correlation between th ...
Does Foreign Direct Investment Synchronise Business Cycles
... take country-pair and period fixed effects into account. Country-pair fixed effects consider unobserved heterogeneity between two countries that arises, for instance, due to geographical or cultural proximity while period-specific effects capture common time shocks. The latter are relevant for disti ...
... take country-pair and period fixed effects into account. Country-pair fixed effects consider unobserved heterogeneity between two countries that arises, for instance, due to geographical or cultural proximity while period-specific effects capture common time shocks. The latter are relevant for disti ...
IOSR Journal of Economics and Finance (IOSR-JEF)
... The monetary theory of exchange rate determination is one of the most recent. It is indeed a very popular model that has generated a lively debate in International Economics and Finance. The theory is last in the well-known tradition of the monetarists or the monetarist school, which regards money a ...
... The monetary theory of exchange rate determination is one of the most recent. It is indeed a very popular model that has generated a lively debate in International Economics and Finance. The theory is last in the well-known tradition of the monetarists or the monetarist school, which regards money a ...
Exchange rate stabilization in developed and
... within the margin from their analysis, Krugman (1991) modeled the exchange rate behavior within the band incorporating exchange rate expectations. As market participants are anticipating that the monetary authority will intervene at the upper or lower margins, this implies an s-shaped exchange rate ...
... within the margin from their analysis, Krugman (1991) modeled the exchange rate behavior within the band incorporating exchange rate expectations. As market participants are anticipating that the monetary authority will intervene at the upper or lower margins, this implies an s-shaped exchange rate ...
mmi14-vanveen 19106661 en
... disappeared as potential adjustment mechanism, the academic and political debate on the limits to macroeconomic divergence and the role of capital markets therein has strongly resurfaced. On the political side this has resulted in the EU “Excessive Imbalances Procedure” to prevent and correct macroe ...
... disappeared as potential adjustment mechanism, the academic and political debate on the limits to macroeconomic divergence and the role of capital markets therein has strongly resurfaced. On the political side this has resulted in the EU “Excessive Imbalances Procedure” to prevent and correct macroe ...
DIFFERENCES IN EXCHANGE RATE PASS
... economies (Galí, 2001). This was related to factors such as the respective degrees of intensity of use of oil in their economies, the reliance in imported oil and the structure of industrial competition within each country. Therefore, differences in trade structures of the member countries (in a ver ...
... economies (Galí, 2001). This was related to factors such as the respective degrees of intensity of use of oil in their economies, the reliance in imported oil and the structure of industrial competition within each country. Therefore, differences in trade structures of the member countries (in a ver ...
π t - Seðlabanki Íslands
... monetary authorities in Iceland is much less favorable than those faced by the monetary authorities in many other industrial countries, even other small inflationtargeting countries like New Zealand” – “Iceland and New Zealand are both subject to to bigger shocks than the other large countries. The ...
... monetary authorities in Iceland is much less favorable than those faced by the monetary authorities in many other industrial countries, even other small inflationtargeting countries like New Zealand” – “Iceland and New Zealand are both subject to to bigger shocks than the other large countries. The ...
inflation and exchange rate depreciation: a
... expansionary monetary and fiscal policies, such as government deficit financing and expansionary credit policies. The Monetarists hold the view that expansion in the money supply will have a large and direct positive influence on output, but only in the short run. In the long run a rise in the money ...
... expansionary monetary and fiscal policies, such as government deficit financing and expansionary credit policies. The Monetarists hold the view that expansion in the money supply will have a large and direct positive influence on output, but only in the short run. In the long run a rise in the money ...
The impact of the price of oil and the US dollar exchange rate on
... ammonia synthesis from the nitrogen in the air and the supply of hydrogen from natural gas. Natural gas represents more than 80% of the cost of the production of ammonia, the source of nitrogen fertiliser. Furthermore, as a result of the strong positive correlation between the price of fertilisers a ...
... ammonia synthesis from the nitrogen in the air and the supply of hydrogen from natural gas. Natural gas represents more than 80% of the cost of the production of ammonia, the source of nitrogen fertiliser. Furthermore, as a result of the strong positive correlation between the price of fertilisers a ...
DP2010/14 Monetary Policy, In‡ation and Unemployment Nicolas Groshenny December 2010
... 2498, Wellington, New Zealand. email address: [email protected]. ISSN 11777567 c Reserve Bank of New Zealand ...
... 2498, Wellington, New Zealand. email address: [email protected]. ISSN 11777567 c Reserve Bank of New Zealand ...
Research and Monetary Policy Department Working Paper No:06/05
... domestic currency tends to appreciate leading to a boost in imports. Along with the enhanced consumption, this development further widens the trade deficit and current account deficit comes up to uncomfortable levels. Capital inflows can lead to an accumulation of vulnerabilities in a country’s fina ...
... domestic currency tends to appreciate leading to a boost in imports. Along with the enhanced consumption, this development further widens the trade deficit and current account deficit comes up to uncomfortable levels. Capital inflows can lead to an accumulation of vulnerabilities in a country’s fina ...
MS Word - UCSB Global Studies
... and other factors of production. Some economists and historians have suggested that globalization is little more than a return to the world economy of the late nineteenth century and early twentieth century, of the century from the Congress of Vienna in 1815 to the outbreak of World War I in 1914. ...
... and other factors of production. Some economists and historians have suggested that globalization is little more than a return to the world economy of the late nineteenth century and early twentieth century, of the century from the Congress of Vienna in 1815 to the outbreak of World War I in 1914. ...
NBER WORKING PAPER SERIES MONETARIST INTERPRETATIONS OF THE GREAT DEPRESSION:
... fascinating period, the original combat zone which pitted monetarists against nonmonetarists, seemed until recently a neglected orphan, too young to be worthy of serious study by economic historians but too old to possess the easily accessible Commerce Department quarterly national income data which ...
... fascinating period, the original combat zone which pitted monetarists against nonmonetarists, seemed until recently a neglected orphan, too young to be worthy of serious study by economic historians but too old to possess the easily accessible Commerce Department quarterly national income data which ...
Globalization of the World Economy: by Michael D. Intriligator *
... other factors of production. Some economists and historians have suggested that globalization is little more than a return to the world economy of the late nineteenth century and early twentieth century, of the century from the Congress of Vienna in 1815 to the outbreak of World War I in 1914. At t ...
... other factors of production. Some economists and historians have suggested that globalization is little more than a return to the world economy of the late nineteenth century and early twentieth century, of the century from the Congress of Vienna in 1815 to the outbreak of World War I in 1914. At t ...
International Financial Remoteness and Macroeconomic Volatility
... from increased volatility, to decreased volatility, to no response to increased financial integration. One reason why these studies present weak results may be the difficulty of measuring international financial integration, at least for a broad set of countries. The literature has used both de jure ...
... from increased volatility, to decreased volatility, to no response to increased financial integration. One reason why these studies present weak results may be the difficulty of measuring international financial integration, at least for a broad set of countries. The literature has used both de jure ...
1 Cross-Hedging Commodity Currencies
... reduction and profit motives of the hedger (Castellino, 1992). Again, a number of effectiveness measures have been proposed in the literature including the Sharpe (1994) measure, which has been widely adopted in hedging literature (Brailsford, Corrigan and Heaney, 2001), and the HBS measure of Howar ...
... reduction and profit motives of the hedger (Castellino, 1992). Again, a number of effectiveness measures have been proposed in the literature including the Sharpe (1994) measure, which has been widely adopted in hedging literature (Brailsford, Corrigan and Heaney, 2001), and the HBS measure of Howar ...
mmi03-plasmans-new 223306 en
... where it is assumed that the stochastic shock vt is observable at time t and follows a first order autoregressive process: vt = ρvt−1 + ṽt .10 Similarly, from equations (10) and (4), we derive the optimal targets in the 8 The type of commitment considered in this paper is that derived according to ...
... where it is assumed that the stochastic shock vt is observable at time t and follows a first order autoregressive process: vt = ρvt−1 + ṽt .10 Similarly, from equations (10) and (4), we derive the optimal targets in the 8 The type of commitment considered in this paper is that derived according to ...
BNR ECONOMIC REVIEW Vol. 9
... financial sector, the interest rate pass-through is still incomplete at low levels in all countries but varies within a country and evolves with time. The paper offers a framework for policy makers’ discussions on key issues to address before 2018. In view of the current exchange rate depreciation a ...
... financial sector, the interest rate pass-through is still incomplete at low levels in all countries but varies within a country and evolves with time. The paper offers a framework for policy makers’ discussions on key issues to address before 2018. In view of the current exchange rate depreciation a ...
... exchange rates going back to 1946 for 153 countries including developed and developing nations. As mentioned, this paper studies the effects of official exchange rates on inflation and economic growth. Thus, the paper focuses on the impact of currency regimes after 1970, since the Bretton Woods era ...
Understanding Sectoral Growth Cycles and the Impact of Monetary Policy in
... two major periods: 1981-1988/1989 and 1989-2000. The main characteristics of the first period were export promotion with strong subsidy components and gradually phased import liberalisation, together with managed floating of the exchange rate and regulated capital movements. A gradual but significan ...
... two major periods: 1981-1988/1989 and 1989-2000. The main characteristics of the first period were export promotion with strong subsidy components and gradually phased import liberalisation, together with managed floating of the exchange rate and regulated capital movements. A gradual but significan ...
Bulletin Contents Volume 76 No. 2, June 2013
... a compelling case for macro-prudential intervention from 2005 onwards to address a build-up of systemic risk within the financial sector. The temporary increase in capital or liquidity buffers, or the application of loan-to-value restrictions on residential mortgages, would have materially enhanced ...
... a compelling case for macro-prudential intervention from 2005 onwards to address a build-up of systemic risk within the financial sector. The temporary increase in capital or liquidity buffers, or the application of loan-to-value restrictions on residential mortgages, would have materially enhanced ...
World Economic Situation and Prospects 2012
... The world economy is on the brink of another major downturn The world economy is teetering on the brink of another major downturn. Output growth has already slowed considerably during 2011 and anaemic growth is expected during 2012 and 2013. The problems stalking the global economy are multiple and ...
... The world economy is on the brink of another major downturn The world economy is teetering on the brink of another major downturn. Output growth has already slowed considerably during 2011 and anaemic growth is expected during 2012 and 2013. The problems stalking the global economy are multiple and ...
The long history of financial boom-bust cycles in Iceland1 Part I
... them is also different to some extent. While we find evidence of financial imbalances playing an important role in the run up to the first three financial crises – as reflected in markedly above-trend growth in money, credit and bank leverage (and to a lesser extent, house prices), the financial cri ...
... them is also different to some extent. While we find evidence of financial imbalances playing an important role in the run up to the first three financial crises – as reflected in markedly above-trend growth in money, credit and bank leverage (and to a lesser extent, house prices), the financial cri ...
PDF Download
... adjustment mechanisms than any other country or region in the world. The absence of an adjustable nominal exchange rate – an advantage when it comes to facilitating financial integration – may become a liability when divergent developments require significant adjustments. Alternative adjustment chan ...
... adjustment mechanisms than any other country or region in the world. The absence of an adjustable nominal exchange rate – an advantage when it comes to facilitating financial integration – may become a liability when divergent developments require significant adjustments. Alternative adjustment chan ...
trade and development report, 2011
... F. Limitations and effectiveness of managed floating......................................................................... 175 1. Effectiveness of intervention in foreign exchange markets .......................................................... 175 2. The scope and cost of sterilization ...
... F. Limitations and effectiveness of managed floating......................................................................... 175 1. Effectiveness of intervention in foreign exchange markets .......................................................... 175 2. The scope and cost of sterilization ...
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.