NBER WORKING PAPER SERIES INFLATION, EXCHANGE RATES AND STABILIZATION Working Paper No. 1739
... From his 1920 Harvard dissertation on "International Trade Under I)epreciated Paper' to the "Cause and Cure of the Dollar Shortage" in 1949 his work constantly touched on the implications of alternative monetary arrangements and the interpretation of actual developments. His most outstanding writing ...
... From his 1920 Harvard dissertation on "International Trade Under I)epreciated Paper' to the "Cause and Cure of the Dollar Shortage" in 1949 his work constantly touched on the implications of alternative monetary arrangements and the interpretation of actual developments. His most outstanding writing ...
Currency Portfolios and Currency Exchange in a
... In our decentralized environment, agents are assumed to meet at random and trade bilaterally. They use currency to buy goods and services and/or the other currency. When agents meet and trade currencies, the nominal exchange rate is the ratio of the quantities of currencies exchanged. To provide age ...
... In our decentralized environment, agents are assumed to meet at random and trade bilaterally. They use currency to buy goods and services and/or the other currency. When agents meet and trade currencies, the nominal exchange rate is the ratio of the quantities of currencies exchanged. To provide age ...
Natural Disasters: Mitigating Impact, Managing Risks
... disasters. In the Eastern Caribbean, for instance, a large natural disaster inflicting damage equivalent to over 2 percent of GDP can be expected to hit the region every two to three years (IMF, 2004). B. Damages, Costs, and Long-Term Welfare Losses Advanced economies are better equipped to absorb t ...
... disasters. In the Eastern Caribbean, for instance, a large natural disaster inflicting damage equivalent to over 2 percent of GDP can be expected to hit the region every two to three years (IMF, 2004). B. Damages, Costs, and Long-Term Welfare Losses Advanced economies are better equipped to absorb t ...
NBER WORKING PAPER SERIES FINANCIAL OPENNESS, SUDDEN STOPS AND CURRENT ACCOUNT REVERSALS
... of foreign capital. In particular, a sudden stop occurs when net capital inflows have declined by at least 5% of GDP in one year (see Edwards 2004 for details). Using a panel data set for 157 countries I found that during 1970-2001 there was a 5.6% incidence of sudden stops; the incidence of reversa ...
... of foreign capital. In particular, a sudden stop occurs when net capital inflows have declined by at least 5% of GDP in one year (see Edwards 2004 for details). Using a panel data set for 157 countries I found that during 1970-2001 there was a 5.6% incidence of sudden stops; the incidence of reversa ...
Capital Management Techniques In Developing Countries:
... Kaplan and Rodrik, 2001; Rajamaran, 2001].3 Several findings emerge from these analyses. Capital controls can reduce the vulnerability of developing countries to financial crises. Controls over capital inflows can be effective (at least in the short run) in changing the composition and maturity stru ...
... Kaplan and Rodrik, 2001; Rajamaran, 2001].3 Several findings emerge from these analyses. Capital controls can reduce the vulnerability of developing countries to financial crises. Controls over capital inflows can be effective (at least in the short run) in changing the composition and maturity stru ...
Chapter 01 Globalization and the Multinational Firm
... D. none of the above, since $100,000 = €80,000 $1.25/€1.00 ...
... D. none of the above, since $100,000 = €80,000 $1.25/€1.00 ...
This PDF is a selection from a published volume from... Research Volume Title: International Dimensions of Monetary Policy
... is good or bad depends largely on the reliability of central banks. To the extent they are prone to follow high-inflation policies when they should not, the constraint is potentially valuable. But to the extent they sometimes wish to achieve higher inflation than other countries for legitimate reaso ...
... is good or bad depends largely on the reliability of central banks. To the extent they are prone to follow high-inflation policies when they should not, the constraint is potentially valuable. But to the extent they sometimes wish to achieve higher inflation than other countries for legitimate reaso ...
Financial globalization and exchange rates
... these emerging markets. Both assets and liabilities have increased substantially as a ratio of GDP during the past 20 years. However, there is virtually no increase in average external liabilities when they are scaled by exports, rather than GDP, while the trend increase in external assets is still ...
... these emerging markets. Both assets and liabilities have increased substantially as a ratio of GDP during the past 20 years. However, there is virtually no increase in average external liabilities when they are scaled by exports, rather than GDP, while the trend increase in external assets is still ...
Dual Currency Investment – Important Facts Statement
... This is a structured investment product involving derivatives. Do not invest in it unless you fully understand and are willing to assume the risks associated with it. If you are in any doubt about the risks involved in the product, you may clarify with the intermediary or seek independent profession ...
... This is a structured investment product involving derivatives. Do not invest in it unless you fully understand and are willing to assume the risks associated with it. If you are in any doubt about the risks involved in the product, you may clarify with the intermediary or seek independent profession ...
III. Analysis of International Investment Positions
... (Lane and Milesi-Ferretti, 2002a and 2002b). For example, rates of return on assets have systematically exceeded those on liabilities for the US, so that the US investment income position stayed positive for a number of years even when the net foreign asset position had turned negative. Rates of ret ...
... (Lane and Milesi-Ferretti, 2002a and 2002b). For example, rates of return on assets have systematically exceeded those on liabilities for the US, so that the US investment income position stayed positive for a number of years even when the net foreign asset position had turned negative. Rates of ret ...
NBER WORKING PAPER SERIES RISK SHARING THROUGH CAPITAL GAINS Faruk Balli Sebnem Kalemli-Ozcan
... countries experiencing negative shocks while others are booming. Sala-i-Martin and Sachs (1992) suggest that the risk sharing provided to states by the U.S. federal government may be essential in making the United States a successful “monetary union.”1 Asdrubali, Sørensen, and Yosha (1996) derive a ...
... countries experiencing negative shocks while others are booming. Sala-i-Martin and Sachs (1992) suggest that the risk sharing provided to states by the U.S. federal government may be essential in making the United States a successful “monetary union.”1 Asdrubali, Sørensen, and Yosha (1996) derive a ...
Document
... Introduction Macroeconomic changes that affect exchange rates, interest rates, and price levels may also affect output. ...
... Introduction Macroeconomic changes that affect exchange rates, interest rates, and price levels may also affect output. ...
- Bhoj University
... incurred: capital will be tied up in plant (sewing machines are not sowing machines) and labour will need to be retrained and relocated. This is why it is sometimes argued that 'nascent industries' should be protected from fully liberalised international trade during the period in which a high cost ...
... incurred: capital will be tied up in plant (sewing machines are not sowing machines) and labour will need to be retrained and relocated. This is why it is sometimes argued that 'nascent industries' should be protected from fully liberalised international trade during the period in which a high cost ...
Should Poland Join the Euro? - Woodrow Wilson School of Public
... markedly and persistently since the early 2000s. This will, at the very least, complicate the legislative process within Poland, which requires a high degree of political support for euro adoption. Finally, Poland would not violate its legal obligation to join the currency union by delaying its entr ...
... markedly and persistently since the early 2000s. This will, at the very least, complicate the legislative process within Poland, which requires a high degree of political support for euro adoption. Finally, Poland would not violate its legal obligation to join the currency union by delaying its entr ...
... paper studies this issue in the context of an open economy. Second, previous research on optimal monetary policy in open economies abstracted from the in‡uence of …scal policy by assuming that Government expenditures could be …nanced by nondistortionary lump sum taxes.3 This paper contributes to thi ...
the effects of exchange rate on the trade balance in ghana
... Goldstein and Isard (1992:25), policy advice from official circles (e.g. IMF and World Bank) proposed that countries could choose among a broad spectrum of exchange rate arrangements and that exchange rate commitments should be tailored to the characteristics and circumstances of individual countrie ...
... Goldstein and Isard (1992:25), policy advice from official circles (e.g. IMF and World Bank) proposed that countries could choose among a broad spectrum of exchange rate arrangements and that exchange rate commitments should be tailored to the characteristics and circumstances of individual countrie ...
A Three-State Markov-Modulated Switching Model for Exchange Rates
... swings hypothesis. Second, it has been shown that government policies affect exchange rate movements. Kaminsky [6], for instance, reported that a change in monetary policy regimes affects the exchange rate depreciation, resulting in long swings. Consequently, information on the existence of long swi ...
... swings hypothesis. Second, it has been shown that government policies affect exchange rate movements. Kaminsky [6], for instance, reported that a change in monetary policy regimes affects the exchange rate depreciation, resulting in long swings. Consequently, information on the existence of long swi ...
Equilibrium Exchange Rates: a Guidebook for the Euro
... theory - two extreme approaches to equilibrium exchange rates can be derived: the short-term, market view, which states that, with free capital mobility, the observed exchange rate is a market equilibrium that summarizes all available information, including long-run sustainability issues; and the ve ...
... theory - two extreme approaches to equilibrium exchange rates can be derived: the short-term, market view, which states that, with free capital mobility, the observed exchange rate is a market equilibrium that summarizes all available information, including long-run sustainability issues; and the ve ...
Chile: 2016 Article IV Consultation-Press Release
... GDP growth has been weak, with activity slowing in October. However, conditions are in place for the economy to recover. After expanding by a moderate 1.7 this year, growth is forecast to increase to 2 percent in 2017. Faster growth in main regional partners and more stable copper prices are expecte ...
... GDP growth has been weak, with activity slowing in October. However, conditions are in place for the economy to recover. After expanding by a moderate 1.7 this year, growth is forecast to increase to 2 percent in 2017. Faster growth in main regional partners and more stable copper prices are expecte ...
Global Strategy Views - Glovista Investments LLC
... potent deflationary dynamics that may take hold in economies, such as those in the USA/Spain/UK/Ireland, that have embarked upon what may prove to be a multi-year deleveraging phase of unprecedented proportions by the household sectors. Under the above interpretation, the inevitability of such a del ...
... potent deflationary dynamics that may take hold in economies, such as those in the USA/Spain/UK/Ireland, that have embarked upon what may prove to be a multi-year deleveraging phase of unprecedented proportions by the household sectors. Under the above interpretation, the inevitability of such a del ...
2013 External Balance Assessment (EBA) Methodology
... This technical background paper sets out the enhanced version of EBA that was implemented during Spring 2013. Relative to the first version, the changes relate to the panel regression-based methods. In particular, in terms of policies, the EBA analysis now accounts also for the effects of financial ...
... This technical background paper sets out the enhanced version of EBA that was implemented during Spring 2013. Relative to the first version, the changes relate to the panel regression-based methods. In particular, in terms of policies, the EBA analysis now accounts also for the effects of financial ...
What has Happened to Monetarism? An Investigation into the
... preference theory of interest to fill the vacuum left by the flawed savings theory of interest (Bibow 2000b, 2001). Keynes recommended the design and deliberate management of fiscal and monetary policies as the "central controls" of the system that would actually produce the tendency toward aggrega ...
... preference theory of interest to fill the vacuum left by the flawed savings theory of interest (Bibow 2000b, 2001). Keynes recommended the design and deliberate management of fiscal and monetary policies as the "central controls" of the system that would actually produce the tendency toward aggrega ...
NBER WORKING PAPER SERIES LATIN AMERICA'S ACCESS TO INTERNATIONAL CAPITAL MARKETS:
... international capital markets, they may also reflect complete integration with international diversification in which inflows are just offset by outflows. The growth in the size and complexity of international financial markets in the last decade has redirected economists' attention to gross issuanc ...
... international capital markets, they may also reflect complete integration with international diversification in which inflows are just offset by outflows. The growth in the size and complexity of international financial markets in the last decade has redirected economists' attention to gross issuanc ...
AND REAL EXCHANGE RATES THE CASE OF CHILE 1973—83
... financed with foreign funds were documented in foreign exchange. The final borrower was subject to the devaluation risk. These regulations generated a highly segmented credit market, where only some agents had access to the "relatively cheap" credit denominated in foreign exchange. The massive inflo ...
... financed with foreign funds were documented in foreign exchange. The final borrower was subject to the devaluation risk. These regulations generated a highly segmented credit market, where only some agents had access to the "relatively cheap" credit denominated in foreign exchange. The massive inflo ...
Long-Horizon Forecasts of Asset Prices when the Discount Factor is
... fundamentals are I(1). In this case, the h-period change of the exchange rate is the sum of h white noises, and therefore a white noise as well. The more interesting case is when Engel and West’s (2005) assumptions that fundamentals are I(1) do not hold, so that some economic fundamentals are I(0) r ...
... fundamentals are I(1). In this case, the h-period change of the exchange rate is the sum of h white noises, and therefore a white noise as well. The more interesting case is when Engel and West’s (2005) assumptions that fundamentals are I(1) do not hold, so that some economic fundamentals are I(0) r ...
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.