NBER WORKING PAPER SERIES ANTICIPATED PROTECTIONIST POLICIES, REAL EXCHANGE RATES
... Leamer, Pat Conway, Stan Black, and the participants of seminars at the University of Pennsylvania, the University of North Carolina, and UCLA. Discussions with Max Cordon and Richard Cantor have been very helpful. This research was supported by the National Science Foundation (Grant NSF 84-19932). ...
... Leamer, Pat Conway, Stan Black, and the participants of seminars at the University of Pennsylvania, the University of North Carolina, and UCLA. Discussions with Max Cordon and Richard Cantor have been very helpful. This research was supported by the National Science Foundation (Grant NSF 84-19932). ...
Weekly FX Insight - Citibank Hong Kong
... job data and as RBNZ governor Wheeler said medium-term core inflation may remain at the target level, which cooled rate cut expectations. However, the NZD may be restrained as the RBNZ may defer rate hikes to Q2 2016. Technical analysis: NZD/USD may consolidate inside 0.71770.7609 (5.56-5.90) since ...
... job data and as RBNZ governor Wheeler said medium-term core inflation may remain at the target level, which cooled rate cut expectations. However, the NZD may be restrained as the RBNZ may defer rate hikes to Q2 2016. Technical analysis: NZD/USD may consolidate inside 0.71770.7609 (5.56-5.90) since ...
On The International Transmission Of Productivity Shocks
... restricted by a priory implicit or explicit theorising: the circularity problem comes from the fact that it is usually hard to distinguish between assumptions and conclusions. The sign restriction procedure for the identification of a shock represents an informal identification criterion and a way t ...
... restricted by a priory implicit or explicit theorising: the circularity problem comes from the fact that it is usually hard to distinguish between assumptions and conclusions. The sign restriction procedure for the identification of a shock represents an informal identification criterion and a way t ...
WARWICK ECONOMIC RESEARCH PAPERS Trade Costs and the Open Macroeconomy No 778
... are large even when formal barriers to trade do not exist. They argue that the tari¤ equivalent of representative international trade costs is around 74%. This paper puts trade costs in the spotlight by integrating them into a rigorous micro-founded general equilibrium model. The central focus of th ...
... are large even when formal barriers to trade do not exist. They argue that the tari¤ equivalent of representative international trade costs is around 74%. This paper puts trade costs in the spotlight by integrating them into a rigorous micro-founded general equilibrium model. The central focus of th ...
Entry Dynamics and the Decline in Exchange-Rate Pass-Through
... of agents: households and firms. Households have utility that depends on the consumption of both domestically-produced goods and imported goods. These goods are purchased from monopolistically competitive firms, who set prices flexibly each period. While the range of goods produced by these firms is ...
... of agents: households and firms. Households have utility that depends on the consumption of both domestically-produced goods and imported goods. These goods are purchased from monopolistically competitive firms, who set prices flexibly each period. While the range of goods produced by these firms is ...
an evaluation of the contractionary devaluation
... growth. The effect is economically significant as the point estimates suggest that, in countries with no external dollarization, a 20 percent real devaluation is associated with an increase in per capita GDP growth of approximately half a percentage point. We also find that external dollarization d ...
... growth. The effect is economically significant as the point estimates suggest that, in countries with no external dollarization, a 20 percent real devaluation is associated with an increase in per capita GDP growth of approximately half a percentage point. We also find that external dollarization d ...
NBER WORKING PAPER SERIES INTERNATIONAL LIQUIDITY AND MONETARY CONTROL Jacob A. Frenkel
... ment concerning exchange—market intervention. The change in economic behavior has been much less pronounced than expected on the basis of the theory concerning the benefits from the additional degree of freedom granted by the flexible exchange rate regime. ...
... ment concerning exchange—market intervention. The change in economic behavior has been much less pronounced than expected on the basis of the theory concerning the benefits from the additional degree of freedom granted by the flexible exchange rate regime. ...
Open Economy Macro - Exchange Rates
... The interest rate in an open economy, as in a closed economy, is determined by the supply and demand for loanable funds. National saving is the source of the supply of loanable funds. Domestic investment and net capital outflow are the sources of the demand for loanable funds. At the equilibrium int ...
... The interest rate in an open economy, as in a closed economy, is determined by the supply and demand for loanable funds. National saving is the source of the supply of loanable funds. Domestic investment and net capital outflow are the sources of the demand for loanable funds. At the equilibrium int ...
File
... The interest rate in an open economy, as in a closed economy, is determined by the supply and demand for loanable funds. National saving is the source of the supply of loanable funds. Domestic investment and net capital outflow are the sources of the demand for loanable funds. At the equilibrium int ...
... The interest rate in an open economy, as in a closed economy, is determined by the supply and demand for loanable funds. National saving is the source of the supply of loanable funds. Domestic investment and net capital outflow are the sources of the demand for loanable funds. At the equilibrium int ...
CHAPTER 2 SUGGESTED ANSWERS TO CHAPTER 2 QUESTIONS
... ANSWER. The value of any good or asset is driven by its scarcity. What the monetary authorities could do is to make money less scarce by issuing more of it. This would lower its scarcity value. Even though its nominal value will always be the same, the added supply will reduce the purchasing power p ...
... ANSWER. The value of any good or asset is driven by its scarcity. What the monetary authorities could do is to make money less scarce by issuing more of it. This would lower its scarcity value. Even though its nominal value will always be the same, the added supply will reduce the purchasing power p ...
PDF
... Norwegian salmon entering EU markets. Although these provisions were non-binding over the evaluation period, simulations are nonetheless performed to indicate how the price and quantity controls might affect inferences about policy impact. SA is not the only factor affecting salmon markets over the ...
... Norwegian salmon entering EU markets. Although these provisions were non-binding over the evaluation period, simulations are nonetheless performed to indicate how the price and quantity controls might affect inferences about policy impact. SA is not the only factor affecting salmon markets over the ...
Japanese Foreign Exchange Intervention
... Real effects of sterilized intervention Since the expansion of the money supply in unsterilized interventions is unlikely to have direct real effects under near-zero nominal short-term rates, one must turn to the literature on the effects of sterilized intervention to understand how the intervention ...
... Real effects of sterilized intervention Since the expansion of the money supply in unsterilized interventions is unlikely to have direct real effects under near-zero nominal short-term rates, one must turn to the literature on the effects of sterilized intervention to understand how the intervention ...
This PDF is a selection from an out-of-print volume from... of Economic Research
... Liberalization of the capital account is taken up in section 6.4. The key result of this section concerns the short-term effect of liberalization on the real exchange rate. When the prereform domestic interest rate exceeds the depreciation-adjusted world rate, the removal of impediments to private c ...
... Liberalization of the capital account is taken up in section 6.4. The key result of this section concerns the short-term effect of liberalization on the real exchange rate. When the prereform domestic interest rate exceeds the depreciation-adjusted world rate, the removal of impediments to private c ...
Feenstra ch 18
... are equal. In this example, the dollar interest rate is 5%, the euro interest rate is 3%, and the expected future exchange rate (one year ahead) is = 1.224 $/€. The equilibrium is highlighted in bold type, where both returns are 5% in annual dollar terms. Figure 12-2 plots the domestic and foreign r ...
... are equal. In this example, the dollar interest rate is 5%, the euro interest rate is 3%, and the expected future exchange rate (one year ahead) is = 1.224 $/€. The equilibrium is highlighted in bold type, where both returns are 5% in annual dollar terms. Figure 12-2 plots the domestic and foreign r ...
This PDF is a selection from a published volume from... Bureau of Economic Research Volume Title: National Economic Planning
... the near-term future, relative to what is expected for the long-term future, the near-term rates of discount should be above the rate for the far future, and vice versa when investible funds are relatively abundant. Obviously, relative scarcity here incorporates both demand and supply factors, and I ...
... the near-term future, relative to what is expected for the long-term future, the near-term rates of discount should be above the rate for the far future, and vice versa when investible funds are relatively abundant. Obviously, relative scarcity here incorporates both demand and supply factors, and I ...
Carry Trades, Monetary Policy and Speculative Dynamics
... This paper supersedes our earlier paper entitled “Carry Trades and Speculative Dynamics”. We thank Patrick Bolton, Doug Diamond, Urban Jermann, Pete Kyle, Karen ...
... This paper supersedes our earlier paper entitled “Carry Trades and Speculative Dynamics”. We thank Patrick Bolton, Doug Diamond, Urban Jermann, Pete Kyle, Karen ...
Assessing the Advantages of EMU-Enlargement for the
... because this is how the EU defines convergence. Although the political debates in the 1990s have shown that these criteria are open to interpretation and manoeuvring, all accession countries will have to pass them in one way or another. Arguably, the criteria will be more strictly applied to the new ...
... because this is how the EU defines convergence. Although the political debates in the 1990s have shown that these criteria are open to interpretation and manoeuvring, all accession countries will have to pass them in one way or another. Arguably, the criteria will be more strictly applied to the new ...
T h e 1 9 9 1 -... Anne-Marie Brook, Sean Collins, and Christie Smith
... to output, inflation, and monetary conditions. It also compares these developments to both past and international experiences, and what we may have expected based on standard economic relationships. As a result, we are better able to understand which events were one-off, or unusual, or even inexplic ...
... to output, inflation, and monetary conditions. It also compares these developments to both past and international experiences, and what we may have expected based on standard economic relationships. As a result, we are better able to understand which events were one-off, or unusual, or even inexplic ...
May 2004 U.S. Antidumping Enforcement and Macroeconomic
... Despite a voluminous literature over the past 20 years on the economic causes and consequences of antidumping policies, both in the U.S. and in other countries,1 little work has been done on the extent to which patterns of antidumping filings and enforcement have been driven by macroeconomic phenome ...
... Despite a voluminous literature over the past 20 years on the economic causes and consequences of antidumping policies, both in the U.S. and in other countries,1 little work has been done on the extent to which patterns of antidumping filings and enforcement have been driven by macroeconomic phenome ...
DD-AA
... Determinants of Aggregate Demand • Determinants of consumption expenditure include: ¨ Disposable income: income from production (Y) minus taxes (T). ¨ More disposable income means more consumption expenditure, but consumption typically increases less than the amount that disposable income increases ...
... Determinants of Aggregate Demand • Determinants of consumption expenditure include: ¨ Disposable income: income from production (Y) minus taxes (T). ¨ More disposable income means more consumption expenditure, but consumption typically increases less than the amount that disposable income increases ...
The Balance of Payments and the Exchange Rate
... increase in the domestic price level or an appreciation of the domestic currency in the international market, with the mix of nominal exchange rate and price level adjustments that actually occur depending on domestic monetary policy and other factors to be considered in subsequent modules. Possible ...
... increase in the domestic price level or an appreciation of the domestic currency in the international market, with the mix of nominal exchange rate and price level adjustments that actually occur depending on domestic monetary policy and other factors to be considered in subsequent modules. Possible ...
Purchasing power parity
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Purchasing power parity (PPP) is a component of some economic theories and is a technique used to determine the relative value of different currencies.Theories that invoke purchasing power parity assume that in some circumstances (for example, as a long-run tendency) it would cost exactly the same number of, say, US dollars to buy euros and then to use the proceeds to buy a market basket of goods as it would cost to use those dollars directly in purchasing the market basket of goods.The concept of purchasing power parity allows one to estimate what the exchange rate between two currencies would have to be in order for the exchange to be at par with the purchasing power of the two countries' currencies. Using that PPP rate for hypothetical currency conversions, a given amount of one currency thus has the same purchasing power whether used directly to purchase a market basket of goods or used to convert at the PPP rate to the other currency and then purchase the market basket using that currency. Observed deviations of the exchange rate from purchasing power parity are measured by deviations of the real exchange rate from its PPP value of 1.PPP exchange rates help to minimize misleading international comparisons that can arise with the use of market exchange rates. For example, suppose that two countries produce the same physical amounts of goods as each other in each of two different years. Since market exchange rates fluctuate substantially, when the GDP of one country measured in its own currency is converted to the other country's currency using market exchange rates, one country might be inferred to have higher real GDP than the other country in one year but lower in the other; both of these inferences would fail to reflect the reality of their relative levels of production. But if one country's GDP is converted into the other country's currency using PPP exchange rates instead of observed market exchange rates, the false inference will not occur.