Sudan - United Nations Economic Commission for Africa
... public sector in the planning process. Inflation and monetary policy Monetary tightening continued in 2015 with a view to controlling inflation and curbing exchange rate depreciation, by reducing purchases of gold and reforming the monetary transmission mechanism. As a result, inflation fell to 16.9 ...
... public sector in the planning process. Inflation and monetary policy Monetary tightening continued in 2015 with a view to controlling inflation and curbing exchange rate depreciation, by reducing purchases of gold and reforming the monetary transmission mechanism. As a result, inflation fell to 16.9 ...
Monetary policy Framework of Ethiopia
... As a routine activity of the Bank, all major economic and financial indicators will be monitored and the MPC briefed on these issues every quarter. These indicators include liquidity of the banking system, inflation and exchange rate trends, financial market developments, foreign exchange reserve po ...
... As a routine activity of the Bank, all major economic and financial indicators will be monitored and the MPC briefed on these issues every quarter. These indicators include liquidity of the banking system, inflation and exchange rate trends, financial market developments, foreign exchange reserve po ...
Fiscal policy - Virginia Community College System
... Federal Government Expenditures and Revenues (as a share of GDP) ...
... Federal Government Expenditures and Revenues (as a share of GDP) ...
Modern Macroeconomics and Monetary Policy
... publicly accessible web site, in whole or in part. ...
... publicly accessible web site, in whole or in part. ...
Chapter 15
... exports to fall, lowering aggregate demand However, with flexible exchange rates – Lower Canadian GDP results in lower money demand, reducing the interest rate below the world interest rate – Decreased demand for Canadian assets results in depreciation of the Canadian dollar, making Canadian-produ ...
... exports to fall, lowering aggregate demand However, with flexible exchange rates – Lower Canadian GDP results in lower money demand, reducing the interest rate below the world interest rate – Decreased demand for Canadian assets results in depreciation of the Canadian dollar, making Canadian-produ ...
A Macroeconomic Theory of the Open Economy
... Real Exchange Rate (RER) adjusts to balance the demand and supply of domestic currency (Can$). At the equilibrium RER, the demand for $ to buy net exports exactly balances the supply of $ to be exchanged into foreign currency to buy assets abroad. What if the NFI is negative? ...
... Real Exchange Rate (RER) adjusts to balance the demand and supply of domestic currency (Can$). At the equilibrium RER, the demand for $ to buy net exports exactly balances the supply of $ to be exchanged into foreign currency to buy assets abroad. What if the NFI is negative? ...
Can, Or Should, A Central Bank InFlation Target?
... natural rate of unemployment, he was essentially giving up any rationalization that the central bank could exogenously control the quantity of money to directly affect the rate of inflation. Instead, there was a subtle change in the monetarist philosophy that implicitly recognized that the money sup ...
... natural rate of unemployment, he was essentially giving up any rationalization that the central bank could exogenously control the quantity of money to directly affect the rate of inflation. Instead, there was a subtle change in the monetarist philosophy that implicitly recognized that the money sup ...
Massachusetts Avenue
... Department of Economics, Northwestern University. This research has been supported by the National Science Foundation. I am grateful to Robert Flood for helpful discussions and to Glenn Hubbard and Allan Meltzer for comments on a first draft. The research reported here is part of the NBER's research ...
... Department of Economics, Northwestern University. This research has been supported by the National Science Foundation. I am grateful to Robert Flood for helpful discussions and to Glenn Hubbard and Allan Meltzer for comments on a first draft. The research reported here is part of the NBER's research ...
Normalizing the Fed Funds Rate: The Fed`s Unjustified Rationale
... This paper questions the FRB’s rationale for the “normalization” of the fed funds rate. It also dismisses the argument made by some that “normalization” is especially necessary to counteract the potential “overshooting” of the FRB’s dual mandate, especially with respect to inflation, after years of ...
... This paper questions the FRB’s rationale for the “normalization” of the fed funds rate. It also dismisses the argument made by some that “normalization” is especially necessary to counteract the potential “overshooting” of the FRB’s dual mandate, especially with respect to inflation, after years of ...
Lahore School of Economics
... C. the price of currency relative to another currency D. the currency of another currency used for trading E. the dollars that the United States uses to buy goods from other countries 8. One explanation of why the aggregate demand curve is downward sloping is that A. as prices fall, nominal income r ...
... C. the price of currency relative to another currency D. the currency of another currency used for trading E. the dollars that the United States uses to buy goods from other countries 8. One explanation of why the aggregate demand curve is downward sloping is that A. as prices fall, nominal income r ...
the long march to higher interest rates
... The slowdown in China explained more of the decline in U.S. rates throughout 2015-2016 than did the slowdown in U.S. growth. The combination of flows emanating from savings glut regions such as China, Europe and Japan, coupled with the powerful effects of domestic QE provided a turbocharged boost fo ...
... The slowdown in China explained more of the decline in U.S. rates throughout 2015-2016 than did the slowdown in U.S. growth. The combination of flows emanating from savings glut regions such as China, Europe and Japan, coupled with the powerful effects of domestic QE provided a turbocharged boost fo ...
Interest Rate
... The bank lends $900 out to Bob (excess reserves) Bob deposits the $900 in his bank Bob’s bank must hold $90. It loans out $810 to Jill Jill deposits $810 in her bank ...
... The bank lends $900 out to Bob (excess reserves) Bob deposits the $900 in his bank Bob’s bank must hold $90. It loans out $810 to Jill Jill deposits $810 in her bank ...
South Africa`s high unemployment rate is no accident
... out, the SARB used all the foreign currency that SA earned to keep the rand as strong as they could. Wikipedia lists 36 countries that have sovereign wealth funds, but SA is not among them. The United Arab Emirates, for example, have used their oil revenues to invest US$749 billion in a sovereign we ...
... out, the SARB used all the foreign currency that SA earned to keep the rand as strong as they could. Wikipedia lists 36 countries that have sovereign wealth funds, but SA is not among them. The United Arab Emirates, for example, have used their oil revenues to invest US$749 billion in a sovereign we ...
gatton.uky.edu
... currency relative to the US dollar by buying or selling domestic assets in exchange for dollar assets. • Arbitrage ensured that exchange rates between any two currencies remained fixed. – Suppose Bank of Japan fixed the exchange rate at 360¥/US$1 and the Bank of France fixed the exchange rate at 5 F ...
... currency relative to the US dollar by buying or selling domestic assets in exchange for dollar assets. • Arbitrage ensured that exchange rates between any two currencies remained fixed. – Suppose Bank of Japan fixed the exchange rate at 360¥/US$1 and the Bank of France fixed the exchange rate at 5 F ...
The Phillips Curve
... • When engaged in a lesson on the Phillip's Curve, the learner will compare and contrast the philip's curve to the aggregate supply/aggregate demand curve, in order to fully understand why there is an inverse relationship between inflation and unemployment. The Phillip's Curve will be presented in ...
... • When engaged in a lesson on the Phillip's Curve, the learner will compare and contrast the philip's curve to the aggregate supply/aggregate demand curve, in order to fully understand why there is an inverse relationship between inflation and unemployment. The Phillip's Curve will be presented in ...
MERCATUS RESEARCH THE CASE FOR NOMINAL GDP TARGETING Scott Sumner
... wisdom, the fact that NGDP fell during 2009 at the fastest rate since the 1930s suggests that monetary policy failure was at the center of the crisis. Like Hetzel, I do not believe financial distress alone can explain the crisis of 2008 and its aftermath.11 Instead, I see an almost perfect storm of ...
... wisdom, the fact that NGDP fell during 2009 at the fastest rate since the 1930s suggests that monetary policy failure was at the center of the crisis. Like Hetzel, I do not believe financial distress alone can explain the crisis of 2008 and its aftermath.11 Instead, I see an almost perfect storm of ...
Why Have the Fed`s Polices Failed to Stimulate the Economy?
... the discount rate in July reflect the increasing unease at the Fed about its current policy. (The Board of Governors voted to keep the discount rate unchanged.) A lower natural rate of interest. The natural rate of interest has fallen as expected rates of return have declined and potential growth h ...
... the discount rate in July reflect the increasing unease at the Fed about its current policy. (The Board of Governors voted to keep the discount rate unchanged.) A lower natural rate of interest. The natural rate of interest has fallen as expected rates of return have declined and potential growth h ...
The European Economy
... – (1) Sustained non-inflationary growth – (2) Lower long-term interest rates and higher rates of investment – (3) Lower unemployment – (4) Expansion of the EU single market ...
... – (1) Sustained non-inflationary growth – (2) Lower long-term interest rates and higher rates of investment – (3) Lower unemployment – (4) Expansion of the EU single market ...
Monetary Policy and Fiscal Policy
... ▫ Money demand is determined by several factors. According to the theory of liquidity preference, one of the most important factors is the interest rate. People choose to hold money instead of other assets that offer higher rates of return because money can be used to buy goods and services. T ...
... ▫ Money demand is determined by several factors. According to the theory of liquidity preference, one of the most important factors is the interest rate. People choose to hold money instead of other assets that offer higher rates of return because money can be used to buy goods and services. T ...
Monetary Policy and Fiscal Policy
... indirect—through the spending decisions of firms or households. When the government alters its own purchases of goods or services, it shifts the aggregate-demand curve directly. ...
... indirect—through the spending decisions of firms or households. When the government alters its own purchases of goods or services, it shifts the aggregate-demand curve directly. ...
PROBLEM SET 4 14.02 Macroeconomics April 5, 2006 Due April 12, 2006
... Due April 12, 2006 I. Answer each as True, False, or Uncertain, and explain your choice. 1. Even in the absence of technological progress, growth could go on forever if capital never depreciated. 2. The more you save the more your country will keep growing in the long run. 3. The U.S. capital stock ...
... Due April 12, 2006 I. Answer each as True, False, or Uncertain, and explain your choice. 1. Even in the absence of technological progress, growth could go on forever if capital never depreciated. 2. The more you save the more your country will keep growing in the long run. 3. The U.S. capital stock ...
Monetary policy
Monetary policy is the process by which the monetary authority of a country controls the supply of money, often targeting an inflation rate or interest rate to ensure price stability and general trust in the currency.Further goals of a monetary policy are usually to contribute to economic growth and stability, to lower unemployment, and to maintain predictable exchange rates with other currencies.Monetary economics provides insight into how to craft optimal monetary policy.Monetary policy is referred to as either being expansionary or contractionary, where an expansionary policy increases the total supply of money in the economy more rapidly than usual, and contractionary policy expands the money supply more slowly than usual or even shrinks it. Expansionary policy is traditionally used to try to combat unemployment in a recession by lowering interest rates in the hope that easy credit will entice businesses into expanding. Contractionary policy is intended to slow inflation in order to avoid the resulting distortions and deterioration of asset values.Monetary policy differs from fiscal policy, which refers to taxation, government spending, and associated borrowing.