![The Effect of Exchange Rates on Statistical Decisions Author(s](http://s1.studyres.com/store/data/002744183_1-e3743181732b9f46321513fedc29c475-300x300.png)
The Effect of Exchange Rates on Statistical Decisions Author(s
... utility. The same problem arises when applying bargaining theory in the service of ethics, as in the works of Braithwaite ð1955Þ and Harsanyi ð1977Þ. As we explain in section 2, a more general expected utility theory is needed to allow for relative values that change from event to event. Unfortunate ...
... utility. The same problem arises when applying bargaining theory in the service of ethics, as in the works of Braithwaite ð1955Þ and Harsanyi ð1977Þ. As we explain in section 2, a more general expected utility theory is needed to allow for relative values that change from event to event. Unfortunate ...
Fiscal Policy in a Currency Union at the Zero Lower Bound ∗
... example, if demand is sufficiently interest sensitive, then a relatively large fiscal expansion ...
... example, if demand is sufficiently interest sensitive, then a relatively large fiscal expansion ...
World Food Prices and Monetary Policy
... crisis in September 2008, did national inflation rates recede and the attendant deviations from central inflation targets narrow sharply. Insofar as world food price shocks are exogenous to small open economies, these developments pose an important question for their central bankers: Should they tol ...
... crisis in September 2008, did national inflation rates recede and the attendant deviations from central inflation targets narrow sharply. Insofar as world food price shocks are exogenous to small open economies, these developments pose an important question for their central bankers: Should they tol ...
NBER WORKING PAPER SERIES WORLD FOOD PRICES AND MONETARY POLICY Luis Catão
... crisis in September 2008, did national inflation rates recede and the attendant deviations from central inflation targets narrow sharply. Insofar as world food price shocks are exogenous to small open economies, these developments pose an important question for their central bankers: Should they tol ...
... crisis in September 2008, did national inflation rates recede and the attendant deviations from central inflation targets narrow sharply. Insofar as world food price shocks are exogenous to small open economies, these developments pose an important question for their central bankers: Should they tol ...
Monetary Policy in Japan Since the Late 1980s
... tioned in Japan, especially since the late 1980s, and attempts to draw some implications for the current discussions about Japan’s monetary policy.1 In the subsequent section, we first apply a Taylor-rule-type policy reaction function to Japan and document possible delays of monetary policy actions ...
... tioned in Japan, especially since the late 1980s, and attempts to draw some implications for the current discussions about Japan’s monetary policy.1 In the subsequent section, we first apply a Taylor-rule-type policy reaction function to Japan and document possible delays of monetary policy actions ...
How the Economic Machine Works – Leveragings and
... because, over time, knowledge increases, which in turn raises productivity and living standards. As shown in this chart, over the very long run, there is relatively little variation from the trend line. Even the Great Depression in the 1930s looks rather small. As a result, we can be relatively conf ...
... because, over time, knowledge increases, which in turn raises productivity and living standards. As shown in this chart, over the very long run, there is relatively little variation from the trend line. Even the Great Depression in the 1930s looks rather small. As a result, we can be relatively conf ...
The Contribution of Growth and Interest Rate Dimitrios Malliaropulos
... price of a basket of goods expressed in a common currency, should be stationary, implying that changes in the real exchange rate should be arbitraged away in the long run. Yet, one characteristic of real exchange rates is that they are highly persistent processes. In other words, the speed at which ...
... price of a basket of goods expressed in a common currency, should be stationary, implying that changes in the real exchange rate should be arbitraged away in the long run. Yet, one characteristic of real exchange rates is that they are highly persistent processes. In other words, the speed at which ...
A VAR Model of Monetary Policy and
... 1990s when India adopted economic reforms in 1991 after a balance of payment crisis. Monetary policy had to deal with traditional issues along with the new issues brought about by the changed economic policy environment. Deregulation and liberalization of financial markets cast doubt on the appropri ...
... 1990s when India adopted economic reforms in 1991 after a balance of payment crisis. Monetary policy had to deal with traditional issues along with the new issues brought about by the changed economic policy environment. Deregulation and liberalization of financial markets cast doubt on the appropri ...
FROM STANDARD TO David I. Fand A RANDOM-WALK MONETARY
... Policymakers focus primarily on current economic conditions and immediate political pressures. Future money growth rates are left unspecified, and the monetary officials who will be in charge when the time comes will either accelerate or decelerate as they see fit. The only rule governing this proce ...
... Policymakers focus primarily on current economic conditions and immediate political pressures. Future money growth rates are left unspecified, and the monetary officials who will be in charge when the time comes will either accelerate or decelerate as they see fit. The only rule governing this proce ...
56a68c3071b7663b2065966b2f51ef12
... are an indicator of deviations from relative PPP. Movements in the real exchange rate over time are an indicator of changes in the international price competitiveness of a McGraw-Hill/Irwin © 2004 The McGraw-Hill Companies, Inc., All Rights Reserved. ...
... are an indicator of deviations from relative PPP. Movements in the real exchange rate over time are an indicator of changes in the international price competitiveness of a McGraw-Hill/Irwin © 2004 The McGraw-Hill Companies, Inc., All Rights Reserved. ...
A Model of the Twin Ds: Optimal Default and Devaluation ∗ S. Na
... devaluation policy is not set optimally. Motivated by the recent debt crisis in the periphery of the eurozone, we characterize the model’s dynamics around a typical default under a currency peg. Under this exchange-rate regime, the central bank loses its ability to counteract the deleterious conseq ...
... devaluation policy is not set optimally. Motivated by the recent debt crisis in the periphery of the eurozone, we characterize the model’s dynamics around a typical default under a currency peg. Under this exchange-rate regime, the central bank loses its ability to counteract the deleterious conseq ...
Low Interest Rates and Housing Booms
... for collateral in this model arises not because of asymmetric information but because of limited commitment, i.e. lenders cannot force borrowers to work in order to repay their debt. The dynamic interaction between the borrowing constraint and the value of collateral generates both persistence and a ...
... for collateral in this model arises not because of asymmetric information but because of limited commitment, i.e. lenders cannot force borrowers to work in order to repay their debt. The dynamic interaction between the borrowing constraint and the value of collateral generates both persistence and a ...
US, China and Europe`s imbalances
... deficit country does not want to let its debt to GDP ratio drift upwards, then the deficit country may decide to impose fiscal austerity, having endogenously falling government expenditures. • The Greek or Italian government then acts as if it were facing a loanable funds constraint: the supply of g ...
... deficit country does not want to let its debt to GDP ratio drift upwards, then the deficit country may decide to impose fiscal austerity, having endogenously falling government expenditures. • The Greek or Italian government then acts as if it were facing a loanable funds constraint: the supply of g ...
Current account imbalances in the Euro area
... Several strands of literature are related to our research question. The first strand addresses the role of price competitiveness in the recent current account imbalances within the euro area. Many recent papers focus on the effects of price competitiveness on export performance. The general conclusi ...
... Several strands of literature are related to our research question. The first strand addresses the role of price competitiveness in the recent current account imbalances within the euro area. Many recent papers focus on the effects of price competitiveness on export performance. The general conclusi ...
Openness and equilibrium determinacy under interest rate rules
... also a large trade share. In this paper, we argue that whether a feedback interest rate rule ensures equilibrium determinacy depends in general on whether and to what extent the country is open to international trade. In a broad class of small open economy models, we find that the degree of openness ...
... also a large trade share. In this paper, we argue that whether a feedback interest rate rule ensures equilibrium determinacy depends in general on whether and to what extent the country is open to international trade. In a broad class of small open economy models, we find that the degree of openness ...
The Shifting Composition of External Liabilities André Faria International Monetary Fund
... between changes in institutional quality and changes in external capital structure. The other main explanatory variables include the size of the economy (total GDP in U.S. dollars); the level of economic development (GDP per capita in U.S. dollars); openness (sum of imports and exports over GDP); an ...
... between changes in institutional quality and changes in external capital structure. The other main explanatory variables include the size of the economy (total GDP in U.S. dollars); the level of economic development (GDP per capita in U.S. dollars); openness (sum of imports and exports over GDP); an ...
Monetary and Fiscal Policies in a Sudden Stop: Is tighter brigther
... encouraged to cut expenditures and raise taxes, and these procyclical discretionary fiscal policies exacerbated the downturns still further in country after country.” 4 “When the Fund entered East Asia, it forced countries to raise interest rates to what, in conventional terms, would be considered ...
... encouraged to cut expenditures and raise taxes, and these procyclical discretionary fiscal policies exacerbated the downturns still further in country after country.” 4 “When the Fund entered East Asia, it forced countries to raise interest rates to what, in conventional terms, would be considered ...
Foreign-exchange reserves
Foreign-exchange reserves (also called forex reserves or FX reserves) are assets held by a central bank or other monetary authority, usually in various reserve currencies, mostly the United States dollar, and to a lesser extent the euro, the pound sterling, and the Japanese yen, and used to back its liabilities—e.g., the local currency issued, and the various bank reserves deposited with the central bank by the government or by financial institutions.