Can Financing Constraints Explain the Asset Pricing Puzzles in Production Economies? ∗
... Occasionally binding financing constraints restrict investment in an asymmetric manner. The constraints have a higher probability of binding when firms are expecting a positive productivity shock next period but their capital stock is currently low, which typically occurs when the economy switches f ...
... Occasionally binding financing constraints restrict investment in an asymmetric manner. The constraints have a higher probability of binding when firms are expecting a positive productivity shock next period but their capital stock is currently low, which typically occurs when the economy switches f ...
Forward Guidance and Macroeconomic Outcomes Since the Financial Crisis ∗ Jeffrey R. Campbell
... As such we identify forward guidance as interpreted by market participants, which may or may not be as intended by the members of the FOMC. In addition to introducing forward guidance to the monetary policy rule we make two changes to the preferences of the workhorse model. First, we include an addi ...
... As such we identify forward guidance as interpreted by market participants, which may or may not be as intended by the members of the FOMC. In addition to introducing forward guidance to the monetary policy rule we make two changes to the preferences of the workhorse model. First, we include an addi ...
29 INFLATION, JOBS, AND THE BUSINESS CYCLE**
... Didn’t get a raise this year? Blame inflation. American wages didn’t budge last month, according to Labor Department data released Wednesday. And with inflation remaining at near zero, experts say it could be quite a while before many workers see their next raise. While stagnant prices are a boon fo ...
... Didn’t get a raise this year? Blame inflation. American wages didn’t budge last month, according to Labor Department data released Wednesday. And with inflation remaining at near zero, experts say it could be quite a while before many workers see their next raise. While stagnant prices are a boon fo ...
Bondch6s
... current yield curve by plotting each bond's YTM against its maturity. If investors are more interested in long-run average yields instead of current ones, the yield curve can be generated by taking the average yields over a sample period (e.g., 5-year averages) and plotting these averages against th ...
... current yield curve by plotting each bond's YTM against its maturity. If investors are more interested in long-run average yields instead of current ones, the yield curve can be generated by taking the average yields over a sample period (e.g., 5-year averages) and plotting these averages against th ...
report of the sub-group on private corporate sector saving
... growth projected at 8 per cent or thereabout in 2011-12, the average growth is expected to be 8.2 per cent for the entire plan period. The growth rate in the current Plan period is higher than that (7.8 per cent) registered for the Tenth Plan Period. The GDP at current market prices registered an an ...
... growth projected at 8 per cent or thereabout in 2011-12, the average growth is expected to be 8.2 per cent for the entire plan period. The growth rate in the current Plan period is higher than that (7.8 per cent) registered for the Tenth Plan Period. The GDP at current market prices registered an an ...
Monetary Conditions in the Euro Area
... to last and may vary from case to case. Thus, depending on market perceptions a tightening action of the central bank could result in a large increase of the interest rate and a small appreciation, or in a small increase of the interest rate and a large appreciation. While the overall effect on aggr ...
... to last and may vary from case to case. Thus, depending on market perceptions a tightening action of the central bank could result in a large increase of the interest rate and a small appreciation, or in a small increase of the interest rate and a large appreciation. While the overall effect on aggr ...
Budget Deficits, National Saving, and Interest Rates
... the projected unified deficit equal to 1 percent of GDP raises interest rates by 25 to 35 basis points,4 and a sustained increase of that magnitude in the projected primary deficit (the unified deficit excluding interest payments) raises interest rates by 40 to 70 basis points. Indeed, despite a ran ...
... the projected unified deficit equal to 1 percent of GDP raises interest rates by 25 to 35 basis points,4 and a sustained increase of that magnitude in the projected primary deficit (the unified deficit excluding interest payments) raises interest rates by 40 to 70 basis points. Indeed, despite a ran ...
Workers` Remittances: An Important
... 2001).4 Similarly, in the Arab Republic of Egypt, a large proportion of returning migrants in the late 1980s set up their own enterprises using funds brought back from abroad5 (McCormick and Wahba 2002). As low-income countries lifted exchange restrictions and liberalized their current and capital a ...
... 2001).4 Similarly, in the Arab Republic of Egypt, a large proportion of returning migrants in the late 1980s set up their own enterprises using funds brought back from abroad5 (McCormick and Wahba 2002). As low-income countries lifted exchange restrictions and liberalized their current and capital a ...
Local Multipliers and Human Capital in the US and Sweden Enrico
... provided by Statistics Sweden for 1994–2008. These data include all employed individuals in Sweden as well as information about the firm and establishment where individuals work. We focus the analysis on workers who are 20 to 64 years old. In total, the number of individuals in our dataset range fro ...
... provided by Statistics Sweden for 1994–2008. These data include all employed individuals in Sweden as well as information about the firm and establishment where individuals work. We focus the analysis on workers who are 20 to 64 years old. In total, the number of individuals in our dataset range fro ...
white paper
... and results from a number of international organizations show that IT steadily adds value to the economy in terms of the following: Positive Contribution to Company Formation: IDC's economic impact study of this year forecasts an increase of 1.2% worldwide in the number of IT companies during the ...
... and results from a number of international organizations show that IT steadily adds value to the economy in terms of the following: Positive Contribution to Company Formation: IDC's economic impact study of this year forecasts an increase of 1.2% worldwide in the number of IT companies during the ...
NBER WORKING PAPER SERIES STOCK AND BOND RETURNS WITH MOODY INVESTORS
... generates a bond-stock return correlation that is somewhat too high relative to the data but it matches the predictability evidence. Third, to convert from model output to the data, we use inflation as a state variable, but ensure that inflation is neutral: that is the Fisher hypothesis holds in our ...
... generates a bond-stock return correlation that is somewhat too high relative to the data but it matches the predictability evidence. Third, to convert from model output to the data, we use inflation as a state variable, but ensure that inflation is neutral: that is the Fisher hypothesis holds in our ...
general assessment of the macroeconomic situation
... For the last five years the global economy has been in a low-growth trap, with growth disappointingly low and stuck at around 3%. Persistent growth shortfalls have weighed on future output expectations and thereby reduced current spending and potential output growth. Global trade and investment have ...
... For the last five years the global economy has been in a low-growth trap, with growth disappointingly low and stuck at around 3%. Persistent growth shortfalls have weighed on future output expectations and thereby reduced current spending and potential output growth. Global trade and investment have ...
2000 - ECB
... Over the reference period from April 1999 to March 2000 Greece achieved a 12-month average rate of HICP inflation of 2.0%, which is below the reference value stipulated by the Treaty. In 1999 as a whole the inflation rate was at the reference value and, since January 2000, Greece has achieved a rate ...
... Over the reference period from April 1999 to March 2000 Greece achieved a 12-month average rate of HICP inflation of 2.0%, which is below the reference value stipulated by the Treaty. In 1999 as a whole the inflation rate was at the reference value and, since January 2000, Greece has achieved a rate ...
WHERE MIGHT ADDITIONAL TAX REVENUES BE FOUND?
... to find additional tax revenues: 1. More measures to cut the fiscal deficit will be required between 2015 and 2020. If the 80:20 ratio of spending cuts to tax increases that has applied in the current parliament is to be extended into the next one, there will have to be some discretionary tax incre ...
... to find additional tax revenues: 1. More measures to cut the fiscal deficit will be required between 2015 and 2020. If the 80:20 ratio of spending cuts to tax increases that has applied in the current parliament is to be extended into the next one, there will have to be some discretionary tax incre ...
ECONOMICS
... – Government - living within its means © 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. ...
... – Government - living within its means © 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. ...
NBER WORKING PAPER SERIES INTERNATIONAL EVIDENCE ON FISCAL SOLVENCY:
... key issue for both industrial and emerging market countries. In the case of the former, the ongoing/looming demographic transition is focusing the attention of policy makers on the need to avoid excessive buildup of public debt, while in the case of middle-income countries with unstable access to gl ...
... key issue for both industrial and emerging market countries. In the case of the former, the ongoing/looming demographic transition is focusing the attention of policy makers on the need to avoid excessive buildup of public debt, while in the case of middle-income countries with unstable access to gl ...
MONETARY POLICY REPORT CENTRAL BANK OF THE REPUBLIC OF TURKEY JULY 2003
... during the said period and had a negative effect on growth. On the other hand, as the domestic demand for certain sectors is still slack, private firms headed to foreign markets and consequently exports of goods increased. However, contribution of net exports to growth turned out to be negative with ...
... during the said period and had a negative effect on growth. On the other hand, as the domestic demand for certain sectors is still slack, private firms headed to foreign markets and consequently exports of goods increased. However, contribution of net exports to growth turned out to be negative with ...
Environmental Indicators
... Apart from the usefulness of indicators to SAIs in discharge of their performance audits, ...
... Apart from the usefulness of indicators to SAIs in discharge of their performance audits, ...
Document
... The Fed is likely to respond to a recessionary gap with an expansionary monetary policy intended to stimulate aggregate demand. The first step is an open-market purchase of government bonds, which puts additional money into circulation and lowers the nominal interest rate. The lower interest rate st ...
... The Fed is likely to respond to a recessionary gap with an expansionary monetary policy intended to stimulate aggregate demand. The first step is an open-market purchase of government bonds, which puts additional money into circulation and lowers the nominal interest rate. The lower interest rate st ...
Time-Consistent Fiscal Policy in a Debt Crisis
... default premium is sufficiently sensitive to debt issuance. But there is also a strategic motive due to the lack of commitment. In particular, when debt is high, lenders realize that the sovereign has a strong motive to free up resources to stimulate the economy in a recession by defaulting on their ...
... default premium is sufficiently sensitive to debt issuance. But there is also a strategic motive due to the lack of commitment. In particular, when debt is high, lenders realize that the sovereign has a strong motive to free up resources to stimulate the economy in a recession by defaulting on their ...
Christiano, Eichenbaum and Rebelo
... lower bound on the nominal interest rate binds. We find that the multiplier is very large in economies in which the output cost of being in the zero-bound state is also large. In such economies it can be socially optimal to substantially raise government spending in response to shocks that make the ...
... lower bound on the nominal interest rate binds. We find that the multiplier is very large in economies in which the output cost of being in the zero-bound state is also large. In such economies it can be socially optimal to substantially raise government spending in response to shocks that make the ...
1) The objectives of the Federal Reserve in its conduct of monetary
... Even if the Fed could completely control the money supply, monetary policy would have critics because (a) the Fed is asked to achieve many goals, some of which are incompatible with others. (b) the Fed’s goals do not include high employment, making labor unions a critic of the Fed. (c) the Fed’s pri ...
... Even if the Fed could completely control the money supply, monetary policy would have critics because (a) the Fed is asked to achieve many goals, some of which are incompatible with others. (b) the Fed’s goals do not include high employment, making labor unions a critic of the Fed. (c) the Fed’s pri ...
PDF Download
... exchange rate. Part 3 contains the underlying structural equations. Part 4 explains the medium to longer run dynamics of the equilibrium real exchange rate when the fundamentals – productivity and thrift – have changed. Part 5 describes the strategy for the estimation of the NATREX. Part 6 contains ...
... exchange rate. Part 3 contains the underlying structural equations. Part 4 explains the medium to longer run dynamics of the equilibrium real exchange rate when the fundamentals – productivity and thrift – have changed. Part 5 describes the strategy for the estimation of the NATREX. Part 6 contains ...
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... should not be surprising; dividends are fairly predictable over a few quarters, and the January stock price is measured well after most of last year’s dividends have been paid, at a time when it may be relatively easy for market participants to anticipate the level of dividends during the coming yea ...
... should not be surprising; dividends are fairly predictable over a few quarters, and the January stock price is measured well after most of last year’s dividends have been paid, at a time when it may be relatively easy for market participants to anticipate the level of dividends during the coming yea ...