Structuring Local Currency Transactions: Case Studies
... An international provider of long‐term funding (the lender) approves a 5 year loan to a local microfinance institution (the borrower) in Kyrgyzstan with a 5% interest rate for the expansion of the bank’s micro and SME portfolio. Given that the borrower on lends to its customer base ...
... An international provider of long‐term funding (the lender) approves a 5 year loan to a local microfinance institution (the borrower) in Kyrgyzstan with a 5% interest rate for the expansion of the bank’s micro and SME portfolio. Given that the borrower on lends to its customer base ...
Remittances and the Real Exchange Rate
... Assuming that non-tradables are normal goods, this positive income shock results in extra spending on both tradables and non-tradables. Since most Latin American countries are price takers in international markets, a growing demand does not raise prices of tradables. However, since the prices of non ...
... Assuming that non-tradables are normal goods, this positive income shock results in extra spending on both tradables and non-tradables. Since most Latin American countries are price takers in international markets, a growing demand does not raise prices of tradables. However, since the prices of non ...
The Benefits and Costs of Renminbi Internationalization
... the euro noticeably reduced transaction costs in both financial markets and financial services and promoted global financial integration. They also found no evidence that currency internationalization made it more difficult to enforce monetary policy. Kim and Suh (2011) compared the gains with the l ...
... the euro noticeably reduced transaction costs in both financial markets and financial services and promoted global financial integration. They also found no evidence that currency internationalization made it more difficult to enforce monetary policy. Kim and Suh (2011) compared the gains with the l ...
Monetary Policy and Exchange Rate Interactions in a Small Open
... in alleviating the exchange rate puzzle in several other open economies; see Bjørnland (2006). After having allowed for a contemporaneous relationship between the interest rate and the exchange rate, the remaining VAR can be identified using standard recursive zero restrictions on the impact matrix ...
... in alleviating the exchange rate puzzle in several other open economies; see Bjørnland (2006). After having allowed for a contemporaneous relationship between the interest rate and the exchange rate, the remaining VAR can be identified using standard recursive zero restrictions on the impact matrix ...
How Important Is the Shock-Absorbing Role of the
... productivity increases. The disproportionate increase in demand for nontradeables that followed resulted in appreciation of the real exchange rate. (De Gregorio, Giovannini, and Wolf, 1994). Second, the productivity di®erential between the tradable and non-tradable sectors has been increasing since ...
... productivity increases. The disproportionate increase in demand for nontradeables that followed resulted in appreciation of the real exchange rate. (De Gregorio, Giovannini, and Wolf, 1994). Second, the productivity di®erential between the tradable and non-tradable sectors has been increasing since ...
Impact of the Euro adoption on the Economy of Latvia
... tuations of the euro and the US dollar are likely to occur also in the future, an inference can be made that the lats peg to the euro will completely eliminate lats fluctuations relative to euro, while Latvia's exporters to the countries of the US dollar bloc are likely to experience an 8.2% increa ...
... tuations of the euro and the US dollar are likely to occur also in the future, an inference can be made that the lats peg to the euro will completely eliminate lats fluctuations relative to euro, while Latvia's exporters to the countries of the US dollar bloc are likely to experience an 8.2% increa ...
1st draft: March 28, 2010 Paper to be presented at the Fourth Annual
... investment accelerates when the effective rate of profit is higher than the required rate of profit. The logic comes from Keynes’s General Theory, according to which the asset demand for fixed capital rises when its corresponding real rate of return is high in relation to other assets. Since an incr ...
... investment accelerates when the effective rate of profit is higher than the required rate of profit. The logic comes from Keynes’s General Theory, according to which the asset demand for fixed capital rises when its corresponding real rate of return is high in relation to other assets. Since an incr ...
External Stability, Real Exchange Rate
... Theories of external adjustment in open economies (e.g., Obstfeld and Rogoff 1995) imply that adjustment to external imbalances can be most efficiently obtained via RER adjustment, rather than via income/output/expenditure adjustment. Relative price movements cause expenditure switching between dom ...
... Theories of external adjustment in open economies (e.g., Obstfeld and Rogoff 1995) imply that adjustment to external imbalances can be most efficiently obtained via RER adjustment, rather than via income/output/expenditure adjustment. Relative price movements cause expenditure switching between dom ...
No. 86
... taxes can in principle affect international relative prices—the terms of trade and the real exchange rate—in a similar fashion as the exchange rate does. Policies of this type are referred to as fiscal devaluations. Setting a theoretical benchmark, Farhi et al. (2014) show that the effects of the no ...
... taxes can in principle affect international relative prices—the terms of trade and the real exchange rate—in a similar fashion as the exchange rate does. Policies of this type are referred to as fiscal devaluations. Setting a theoretical benchmark, Farhi et al. (2014) show that the effects of the no ...
The Gold Standard, Bretton Woods and Other Monetary Regimes: A
... rates i-egimne (1971—89). The Bretton Woods period (1946—70) is divided into two suhperiods: the preconvertible phase (1946—58) and the convertilile phase (1959—70).’~ The comparison relates to the theoretical issues raised by the debate over fixed vs. flexible exchange rates. According to the tradi ...
... rates i-egimne (1971—89). The Bretton Woods period (1946—70) is divided into two suhperiods: the preconvertible phase (1946—58) and the convertilile phase (1959—70).’~ The comparison relates to the theoretical issues raised by the debate over fixed vs. flexible exchange rates. According to the tradi ...
Seminar Paper No. 740 AN ESTIMATED DSGE MODEL FOR SWEDEN
... Moreover, we assume the existence of frictions in …nancial markets that create a wedge between the returns on domestic and foreign assets. As in Lindé, Nessén, and Söderström (2004), this risk premium is assumed to be a decreasing function of the country’s net foreign asset position. Price stability ...
... Moreover, we assume the existence of frictions in …nancial markets that create a wedge between the returns on domestic and foreign assets. As in Lindé, Nessén, and Söderström (2004), this risk premium is assumed to be a decreasing function of the country’s net foreign asset position. Price stability ...
Chapter 29
... the central bank prints large quantities of money, the money loses value both in terms of the goods and services it can buy and in terms of the amount of other currencies it can buy. ...
... the central bank prints large quantities of money, the money loses value both in terms of the goods and services it can buy and in terms of the amount of other currencies it can buy. ...
Exchange rate arrangements and misalignments: contrasting words
... The rest of the paper proceeds as follows. The next section defines and measures the equilibrium real exchange rate and misalignment. The third one turns to the econometric analysis. Concluding remarks are offered in the last section. 2. Equilibrium real exchange rate and misalignment: definition a ...
... The rest of the paper proceeds as follows. The next section defines and measures the equilibrium real exchange rate and misalignment. The third one turns to the econometric analysis. Concluding remarks are offered in the last section. 2. Equilibrium real exchange rate and misalignment: definition a ...
Intranational, Intracontinental, and Intraplanetary PPP*
... is much greater than the twenty-odd years that have passed since the decline of the Bretton Woods system and the move to floating exchange rates among major industrialized countries. One approach to solving the power problem is to use very long time series, but, as Frankel and Rose (1996) pointed ou ...
... is much greater than the twenty-odd years that have passed since the decline of the Bretton Woods system and the move to floating exchange rates among major industrialized countries. One approach to solving the power problem is to use very long time series, but, as Frankel and Rose (1996) pointed ou ...
Political Institutions and Exchange-Rate
... institutions. These institutions do not operate in isolation, but their effect on exchangerate stability is likely to be conditioned by other institutions, economic constraints, and governments’ overall commitment to stability. One particularly salient factor in this regard is the de jure exchange-ra ...
... institutions. These institutions do not operate in isolation, but their effect on exchangerate stability is likely to be conditioned by other institutions, economic constraints, and governments’ overall commitment to stability. One particularly salient factor in this regard is the de jure exchange-ra ...
The Bretton Woods International Monetary System
... While Bretton Woods was relatively stable, it was also very short lived. From the declaration of par values by thirty-two countries on 18 December 1946 to the closing of the gold window on 15 August 1971, it lasted twenty-five years.’ However, most analysts would agree that, until the Western Europe ...
... While Bretton Woods was relatively stable, it was also very short lived. From the declaration of par values by thirty-two countries on 18 December 1946 to the closing of the gold window on 15 August 1971, it lasted twenty-five years.’ However, most analysts would agree that, until the Western Europe ...
as a PDF
... objectives of interventions vary from resisting exchange rate movements that are perceived unjustified given the underlying fundamental determinants of exchange rates, to attempts to provide some leeway for domestic monetary policy against the impact of imported shocks to price stability or price c ...
... objectives of interventions vary from resisting exchange rate movements that are perceived unjustified given the underlying fundamental determinants of exchange rates, to attempts to provide some leeway for domestic monetary policy against the impact of imported shocks to price stability or price c ...
Engineering Good Times: Fiscal Manipulation in a Global Economy
... terms of trade—the unit price of a country’s exports relative to the unit price of its imports. High levels of trade do not necessarily lead to greater terms of trade volatility, 20 but in the absence of trade, such volatility would have no impact on the economy.21 Empirically, scholars have found ...
... terms of trade—the unit price of a country’s exports relative to the unit price of its imports. High levels of trade do not necessarily lead to greater terms of trade volatility, 20 but in the absence of trade, such volatility would have no impact on the economy.21 Empirically, scholars have found ...
A NEW LOOK AT THE FORWARD PREMIUM PUZZLE
... premium puzzle, another literature has developed, starting with Meese and Rogoff (1983), documenting an equally startling puzzle—exchange rates do not seem to be related to fundamentals.1 The random walk model has proven almost unbeatable, even against models with a variety of finance and macro vari ...
... premium puzzle, another literature has developed, starting with Meese and Rogoff (1983), documenting an equally startling puzzle—exchange rates do not seem to be related to fundamentals.1 The random walk model has proven almost unbeatable, even against models with a variety of finance and macro vari ...
OPTIMAL TRANSACTION FILTERS UNDER TRANSITORY
... some level. These opportunities may be exploitable for instance at an intra-daily frequency as a reward for information acquisition when markets are efficient, or at a lower frequency to market timers when markets are inefficient. By nature these profit opportunities are predicable but transitory, a ...
... some level. These opportunities may be exploitable for instance at an intra-daily frequency as a reward for information acquisition when markets are efficient, or at a lower frequency to market timers when markets are inefficient. By nature these profit opportunities are predicable but transitory, a ...
- Open University of Tanzania Repository
... This study reflects on assessment of the micro economic factor hindering the growth of Dar es Salaam Stock Exchange market. The main target of this study was to determine the factors hindering the growth of Dar es Salaam Stock Exchange market. Four examined variables such as money supply exchange ra ...
... This study reflects on assessment of the micro economic factor hindering the growth of Dar es Salaam Stock Exchange market. The main target of this study was to determine the factors hindering the growth of Dar es Salaam Stock Exchange market. Four examined variables such as money supply exchange ra ...
united states securities and exchange commission - corporate
... with a portfolio of approximately 147,000 communications sites. For more information about American Tower, please visit the “Earnings Materials” and “Company & Industry Resources” sections of our investor relations website at www.americantower.com . Non-GAAP and Defined Financial Measures In additio ...
... with a portfolio of approximately 147,000 communications sites. For more information about American Tower, please visit the “Earnings Materials” and “Company & Industry Resources” sections of our investor relations website at www.americantower.com . Non-GAAP and Defined Financial Measures In additio ...
Industry Price Adjustment to Exchange Rate
... In this dissertation proposal I study the implications of some aspects of imperfect competition in the adjustment of import prices to exogenous exchange rate changes. First, form a theoretical perspective I study what role does market structure, strategic behavior and the type of competition played ...
... In this dissertation proposal I study the implications of some aspects of imperfect competition in the adjustment of import prices to exogenous exchange rate changes. First, form a theoretical perspective I study what role does market structure, strategic behavior and the type of competition played ...
NBER WORKING PAPER SERIES WHAT DETERMINES EUROPEAN REAL EXCHANGE RATES? Martin Berka
... GDP per capita and real exchange rates for a number of countries. For countries such as Ireland, where relative GDP per capita moved from being below the EU average to being above the EU average over the sample, the deviation of relative GDP from the EU average switched from being below the real exc ...
... GDP per capita and real exchange rates for a number of countries. For countries such as Ireland, where relative GDP per capita moved from being below the EU average to being above the EU average over the sample, the deviation of relative GDP from the EU average switched from being below the real exc ...