A MACROECONOMETRIC MODEL FOR THE ECONOMY OF
... It is evident from the policy options assessed in this study that fiscal policy remains the main and most potent policy instrument available to policy makers. It is also evident that the effectiveness of fiscal policy is not exclusive as monetary policy can still be used to some extent. A salient ou ...
... It is evident from the policy options assessed in this study that fiscal policy remains the main and most potent policy instrument available to policy makers. It is also evident that the effectiveness of fiscal policy is not exclusive as monetary policy can still be used to some extent. A salient ou ...
Deutsche Bundesbank - Annual Report
... what matters. Given that the real economic adjustment burdens are associated with sharp fluctuations in cross-border capital flows and severe exchange rate upheavals, the question of a suitable regulatory framework for international capital movements is constantly being raised anew. The liberalisati ...
... what matters. Given that the real economic adjustment burdens are associated with sharp fluctuations in cross-border capital flows and severe exchange rate upheavals, the question of a suitable regulatory framework for international capital movements is constantly being raised anew. The liberalisati ...
ESSAYS ON MONETARY AND FISCAL POLICY By Andrea Pescatori
... The thesis is focused on the policy implications of financial markets imperfections for the business cycle. The view that the financial structure and the performance of credit markets may be important to understand macroeconomic facts dates back at least to Gurley and Shaw (1955). However, many resu ...
... The thesis is focused on the policy implications of financial markets imperfections for the business cycle. The view that the financial structure and the performance of credit markets may be important to understand macroeconomic facts dates back at least to Gurley and Shaw (1955). However, many resu ...
The Money Supply and the Federal Reserve System
... economy is at Point A, a decrease in the price level can cause a movement to Point A) E. B) B. C) C. D) D. Answer: D Refer to Figure 12.11. Suppose the economy is at Point A, a decrease in taxes can cause a movement to Point A) E. B) B. C) C. D) D. Answer: B ...
... economy is at Point A, a decrease in the price level can cause a movement to Point A) E. B) B. C) C. D) D. Answer: D Refer to Figure 12.11. Suppose the economy is at Point A, a decrease in taxes can cause a movement to Point A) E. B) B. C) C. D) D. Answer: B ...
Tilburg University Money, Fiscal Defecits and Government Debt in a
... debt imply larger tax distortions to service interest payments. Moreover, the larger the stock of public debt, the larger the required adjustments in taxes associated with fluctuations in the interest rate and the growth rate of real output. A high level of public debt is also likely to crowd out pr ...
... debt imply larger tax distortions to service interest payments. Moreover, the larger the stock of public debt, the larger the required adjustments in taxes associated with fluctuations in the interest rate and the growth rate of real output. A high level of public debt is also likely to crowd out pr ...
Economic Outlook 2012
... it, but one who, when he is ruined, is ruined in a conventional way, along with his fellows, so that no one can really blame him.” - J.M. Keynes (1931) Tuesday, May 23, 2017 ...
... it, but one who, when he is ruined, is ruined in a conventional way, along with his fellows, so that no one can really blame him.” - J.M. Keynes (1931) Tuesday, May 23, 2017 ...
Stephen J. Working OF INTEREST RATES
... second half of the decade to under .3. During the middle and latter parts of the 1970's it increased to 1.6 and after becoming negative at the end of the decade, it has averaged around 2.5 during the economic expansion of the 1980's. There is an extensive literature investigating the empirical relat ...
... second half of the decade to under .3. During the middle and latter parts of the 1970's it increased to 1.6 and after becoming negative at the end of the decade, it has averaged around 2.5 during the economic expansion of the 1980's. There is an extensive literature investigating the empirical relat ...
Macroeconomics - University of London International Programmes
... Published by: University of London © University of London 2014 The University of London asserts copyright over all material in this subject guide except where otherwise indicated. All rights reserved. No part of this work may be reproduced in any form, or by any means, without permission in writing ...
... Published by: University of London © University of London 2014 The University of London asserts copyright over all material in this subject guide except where otherwise indicated. All rights reserved. No part of this work may be reproduced in any form, or by any means, without permission in writing ...
Inflation
... to make a real profit of 2% (7% - 5%). • Suppose there is unexpected inflation, adding another 1% to inflation (6% total). The bank will now make a profit of just 1%. Inflation hurt the bank! • Borrowers, in this case, expected to pay a real interest rate of 2% (7% - 5%). • Borrowers now only pay a ...
... to make a real profit of 2% (7% - 5%). • Suppose there is unexpected inflation, adding another 1% to inflation (6% total). The bank will now make a profit of just 1%. Inflation hurt the bank! • Borrowers, in this case, expected to pay a real interest rate of 2% (7% - 5%). • Borrowers now only pay a ...
Forward Guidance and Macroeconomic Outcomes Since the Financial Crisis ∗ Jeffrey R. Campbell
... the expectations theory of the term structure holds good and real rates should not be affected much beyond the duration of price stickiness. These findings raise questions about the use of standard NK models for identifying the effects of Odyssean forward guidance. Therefore we reconsider the Hanson ...
... the expectations theory of the term structure holds good and real rates should not be affected much beyond the duration of price stickiness. These findings raise questions about the use of standard NK models for identifying the effects of Odyssean forward guidance. Therefore we reconsider the Hanson ...
NBER WORKING PAPER SERIES INTERNATIONAL RESERVE HOLDINGS WITH Joshua Aizenman
... in international financial markets and faced new challenges. In the aftermath of the 199798 Asian financial crises, some observers have called on emerging markets to reduce short-term external debt relative to international reserve holdings in order to lower their vulnerability to crisis. Countries ...
... in international financial markets and faced new challenges. In the aftermath of the 199798 Asian financial crises, some observers have called on emerging markets to reduce short-term external debt relative to international reserve holdings in order to lower their vulnerability to crisis. Countries ...
THE MULTIPLIER EFFECT A FORMULA FOR THE SPENDING
... Suppose, for instance, that the government increases expenditure on a form of government-provided capital, such as roads. Roads are used by private businesses to make deliveries to their customers; an increase in the quantity of roads increases these businesses’ productivity. Hence, when the governm ...
... Suppose, for instance, that the government increases expenditure on a form of government-provided capital, such as roads. Roads are used by private businesses to make deliveries to their customers; an increase in the quantity of roads increases these businesses’ productivity. Hence, when the governm ...
Does Monetary Cooperation or Confrontation Lead to Successful
... begun in 2010, quantitative easing and other noninterest rate monetary policy measures are not an issue). That means we are not using the narrative method to identify monetary policy intentions the way we rely on the IMF dataset to do for fiscal policy. We believe this is justified for independent c ...
... begun in 2010, quantitative easing and other noninterest rate monetary policy measures are not an issue). That means we are not using the narrative method to identify monetary policy intentions the way we rely on the IMF dataset to do for fiscal policy. We believe this is justified for independent c ...
Document
... on consumption, an interest-rate effect on investment, and an exchange-rate effect on net exports. ...
... on consumption, an interest-rate effect on investment, and an exchange-rate effect on net exports. ...