Exchange Rate Regimes of Developing Countries: Global Context
... Europe in the context of the recent emerging market crises (Figure 3), discussed in the next section.2 As is well known, capital flow reversals have been associated with currency crises and these crises have had large real economic costs. However, this phenomenon of the boom/bust cycle in private ca ...
... Europe in the context of the recent emerging market crises (Figure 3), discussed in the next section.2 As is well known, capital flow reversals have been associated with currency crises and these crises have had large real economic costs. However, this phenomenon of the boom/bust cycle in private ca ...
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... third one for 2008-2014. The time dummies are also interacted with the saving rate to test for structural breaks in the coefficient b in the equation above. A Wald test rejects the hypothesis of a constant intercept term as well as a constant coefficient of the saving rate across time. Comparing the ...
... third one for 2008-2014. The time dummies are also interacted with the saving rate to test for structural breaks in the coefficient b in the equation above. A Wald test rejects the hypothesis of a constant intercept term as well as a constant coefficient of the saving rate across time. Comparing the ...
NBER WORKING PAPER SERIES DO CAPITAL ADEQUACY REQUIREMENTS MATTER FOR MONETARY POLICY?
... job of regulators and supervisors to ensure that the Þnancial system functions smoothly. But monetary policy and prudential supervisory policy can work at cross-purposes. An economic slowdown can cause deterioration in the balance sheets of Þnancial institutions. Seeing the decline in the value of a ...
... job of regulators and supervisors to ensure that the Þnancial system functions smoothly. But monetary policy and prudential supervisory policy can work at cross-purposes. An economic slowdown can cause deterioration in the balance sheets of Þnancial institutions. Seeing the decline in the value of a ...
NBER WORKING PAPER SERIES TECHNOLOGY SHOCKS AND MONETARY POLICY: Jordi Galí
... Thus, as in the ßexible price case, a permanent technology shock leads to a proportional change in output under the optimal policy, while the sign of the response of employment depends on the strength of the wealth effect, as determined by the size of σ. The lack of strong evidence of a unit root in ...
... Thus, as in the ßexible price case, a permanent technology shock leads to a proportional change in output under the optimal policy, while the sign of the response of employment depends on the strength of the wealth effect, as determined by the size of σ. The lack of strong evidence of a unit root in ...
"#$%! DISCUSSION PAPER SERIES !!!"#$%&"'&()
... expected to roll over. Guidotti suggested a rule of thumb whereby emerging markets should have sufficient reserves that they could cover full amortization for up to one year without access to foreign credit. The idea was supported by empirical research showing that short-term external debt appears t ...
... expected to roll over. Guidotti suggested a rule of thumb whereby emerging markets should have sufficient reserves that they could cover full amortization for up to one year without access to foreign credit. The idea was supported by empirical research showing that short-term external debt appears t ...
research paper series A Tale of Two Cycles: Co-fluctuations
... economic policy arena for over a decade and is likely to run for many more years. There are numerous dimensions to this issue, but in economic terms one criterion dominates all others: the symmetry across countries of macroeconomic shocks. According to the optimum-currency-area paradigm (OCA), the m ...
... economic policy arena for over a decade and is likely to run for many more years. There are numerous dimensions to this issue, but in economic terms one criterion dominates all others: the symmetry across countries of macroeconomic shocks. According to the optimum-currency-area paradigm (OCA), the m ...
Low Interest Rates and Housing Booms
... The run-up to the recent global …nancial crisis was characterised by an environment of low interest rates and a rapid increase in housing market activity across OECD countries. The link between the two is intuitive: low interest rates make credit cheaper and increase the demand for housing. Some sch ...
... The run-up to the recent global …nancial crisis was characterised by an environment of low interest rates and a rapid increase in housing market activity across OECD countries. The link between the two is intuitive: low interest rates make credit cheaper and increase the demand for housing. Some sch ...
chapter 1
... 3.foreign exchange brokers: often banks do not trade directly with one another, rather deal through foreign exchange brokers. 4.central banks: they normally buy and sell currency in the foreign exchange market to keep the external value of their currency ...
... 3.foreign exchange brokers: often banks do not trade directly with one another, rather deal through foreign exchange brokers. 4.central banks: they normally buy and sell currency in the foreign exchange market to keep the external value of their currency ...
high-level roundtable on africa and new global finance
... capital flows? What opportunities and challenges do the rapid growth of cross-border and mobile banking pose? What have been the tangible impacts of global financial standards? To explore these questions, GEG and PEFM convened a small, high-level group of experts from national regulators, academia, ...
... capital flows? What opportunities and challenges do the rapid growth of cross-border and mobile banking pose? What have been the tangible impacts of global financial standards? To explore these questions, GEG and PEFM convened a small, high-level group of experts from national regulators, academia, ...
Bank of Canada Review
... creation of a controlled and simplified environment to examine a question of interest. Control helps to isolate features of the experimental economy that have a material effect on the behaviour of participants (subjects). Control factors often include information available to participants, a set of ...
... creation of a controlled and simplified environment to examine a question of interest. Control helps to isolate features of the experimental economy that have a material effect on the behaviour of participants (subjects). Control factors often include information available to participants, a set of ...
Unconventional Central Bank Measures for Emerging
... global economic and financial crisis. The Federal Reserve and the European Central Bank, among others, have implemented unprecedented easing measures that have escalated in number, magnitude, and novelty. 2 These measures are unconventional in the sense that they are a clear departure from the polic ...
... global economic and financial crisis. The Federal Reserve and the European Central Bank, among others, have implemented unprecedented easing measures that have escalated in number, magnitude, and novelty. 2 These measures are unconventional in the sense that they are a clear departure from the polic ...
Should Switzerland Adopt the Euro
... Switzerland would benefit from the elimination of currency conversion costs in trade with these countries. However, the experts believe that this benefit would only be of a second order of magnitude since the Swiss franc is one of the world’s most liquid currencies. Stronger economic growth? Euro ad ...
... Switzerland would benefit from the elimination of currency conversion costs in trade with these countries. However, the experts believe that this benefit would only be of a second order of magnitude since the Swiss franc is one of the world’s most liquid currencies. Stronger economic growth? Euro ad ...
M o n e t a r y ... C o n t e n t s 1 November 1999
... In the August Statement, the Bank expected growth to be below trend in the June quarter, but still positive, followed by a robust September quarter. In the event, June quarter GDP fell by 0.3 percent, surprising the Bank and most market an- ...
... In the August Statement, the Bank expected growth to be below trend in the June quarter, but still positive, followed by a robust September quarter. In the event, June quarter GDP fell by 0.3 percent, surprising the Bank and most market an- ...
3 – The East Asian Crisis - Utrecht University Repository
... cooperation was necessary to prevent individual protectionist and inward remedies by nations in the face of an economic crisis. An important role of the IMF, therefore, was to provide funds when countries faced an economic downturn so that aggregate demand could be prevented from dropping to critica ...
... cooperation was necessary to prevent individual protectionist and inward remedies by nations in the face of an economic crisis. An important role of the IMF, therefore, was to provide funds when countries faced an economic downturn so that aggregate demand could be prevented from dropping to critica ...
Financial Market Imperfections and the impact of
... considered. Campa (2000) tests the impact of exchange rate movements on South American countries’ exports. The impact appears to be positive or non significant, according to the specification. However, the author does not take into account control variables to capture demand and prices, so that resu ...
... considered. Campa (2000) tests the impact of exchange rate movements on South American countries’ exports. The impact appears to be positive or non significant, according to the specification. However, the author does not take into account control variables to capture demand and prices, so that resu ...
The Framework of Trade in the Council for Mutual Economic
... that the Soviet Union was only too eager to fill. Prior to the war, a large portion of Central and Eastern European trade had been transacted outside the region, especially with the German Reich.1 Immediately following the conflict, the USSR made grain loans to help ease the regional food shortage, ...
... that the Soviet Union was only too eager to fill. Prior to the war, a large portion of Central and Eastern European trade had been transacted outside the region, especially with the German Reich.1 Immediately following the conflict, the USSR made grain loans to help ease the regional food shortage, ...
Does Financial Institution Support for Economic Growth? A Case of
... private sector to total domestic credit and claims on the private sector by non-deposit money banks to GDP. King and Levine (1993b) again used four measures of financial development indicators. The first is to measures the size of financial intermediaries and equals liquid liabilities of the financi ...
... private sector to total domestic credit and claims on the private sector by non-deposit money banks to GDP. King and Levine (1993b) again used four measures of financial development indicators. The first is to measures the size of financial intermediaries and equals liquid liabilities of the financi ...
Does the Kiwi fly when the Kangaroo jumps?
... and only a small response to monetary policy announcements. A comparison of the relative responses of the NZ/US and AU/US exchange rates to the same Australian surprises shows the NZ/US exchange rate responds half as much to a real shock as the AU/US exchange rate, and by less to a nominal shock. Th ...
... and only a small response to monetary policy announcements. A comparison of the relative responses of the NZ/US and AU/US exchange rates to the same Australian surprises shows the NZ/US exchange rate responds half as much to a real shock as the AU/US exchange rate, and by less to a nominal shock. Th ...
Currency Union and Foreign Direct Investment Inflow: Evidence from
... well documented in the literature. Among the arguments are the ability of a currency union to reduce macroeconomic instability and destability speculation; increase in transparency and credibility of rules and policies (Lane, 2006; Usman and Ibrahim, 2012). The enlarged market as a result of a curre ...
... well documented in the literature. Among the arguments are the ability of a currency union to reduce macroeconomic instability and destability speculation; increase in transparency and credibility of rules and policies (Lane, 2006; Usman and Ibrahim, 2012). The enlarged market as a result of a curre ...
Are the Foreign-Currency Official Reserves of Emerging Asia Excessive?
... But as reserves are not only advantageous; countries also incur costs by holding reserves, such as inflation, sterilization costs, opportunity costs, and central bank balance sheet losses (Green and Torgerson, 2007). Buying foreign currency leads to a rise in the monetary base. Therefore, the moneta ...
... But as reserves are not only advantageous; countries also incur costs by holding reserves, such as inflation, sterilization costs, opportunity costs, and central bank balance sheet losses (Green and Torgerson, 2007). Buying foreign currency leads to a rise in the monetary base. Therefore, the moneta ...
World Bank - Public Documents Profile Viewer
... hike in December. Net capital inflows, which had resumed in 2016 reflecting accommodative monetary policies in advanced economies, eased towards the end of the year (Figure 2.1.4). In contrast to global trends, FDI to the EAP region remained buoyant, especially to Cambodia, Indonesia, Lao PDR, Malay ...
... hike in December. Net capital inflows, which had resumed in 2016 reflecting accommodative monetary policies in advanced economies, eased towards the end of the year (Figure 2.1.4). In contrast to global trends, FDI to the EAP region remained buoyant, especially to Cambodia, Indonesia, Lao PDR, Malay ...
The impact of international capital flows on the South Africa... since the end of apartheid Seeraj Mohamed
... economic policy. They seem to believe that their chances of attracting foreign direct investment and more access to capital will improve if they show investors that they are committed to maintaining orthodox macroeconomic fundamentals and other elements of the Washington Consensus. They do not seem ...
... economic policy. They seem to believe that their chances of attracting foreign direct investment and more access to capital will improve if they show investors that they are committed to maintaining orthodox macroeconomic fundamentals and other elements of the Washington Consensus. They do not seem ...
1305501187_526858
... – Investing most of retirement and other savings in one’s home country, which reduces diversification ...
... – Investing most of retirement and other savings in one’s home country, which reduces diversification ...
The emerging single market in South-East Asia
... Financial Integration Framework (AFIF), in conjunction with the ASEAN Banking Integration Framework (ABIF), is a crucial pair of instruments for deepening financial and economic integration. ...
... Financial Integration Framework (AFIF), in conjunction with the ASEAN Banking Integration Framework (ABIF), is a crucial pair of instruments for deepening financial and economic integration. ...
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... target variables will exist only if the requirements of "Tinbergen's Rule" are fulfilled: that the number of independent targets must equal the number of independent instruments.' If there are fewer targets than policy variables, then there are fewer equations than unknowns and the system is underde ...
... target variables will exist only if the requirements of "Tinbergen's Rule" are fulfilled: that the number of independent targets must equal the number of independent instruments.' If there are fewer targets than policy variables, then there are fewer equations than unknowns and the system is underde ...
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.