macroeconomics and growth policy note
... when traditional contractionary monetary policy is the only instrument used to fight it. As we’ll discuss below, this may dampen employment in the short -term and growth in the longer-term. Much of the importance placed on fighting inflation in developing countries today stems from the history of hy ...
... when traditional contractionary monetary policy is the only instrument used to fight it. As we’ll discuss below, this may dampen employment in the short -term and growth in the longer-term. Much of the importance placed on fighting inflation in developing countries today stems from the history of hy ...
macroeconomic and growth policies
... well-being in an equitable and sustainable manner. Much of the recent discussion of economic policy has focused on intermediate variables, such as price stability or the balance of payments. Intermediate variables, however, are not important in their own right. Their importance derives largely from ...
... well-being in an equitable and sustainable manner. Much of the recent discussion of economic policy has focused on intermediate variables, such as price stability or the balance of payments. Intermediate variables, however, are not important in their own right. Their importance derives largely from ...
Discussion of “Complexity and Monetary Policy” ∗ Glenn D. Rudebusch
... pose a significant challenge to both macroeconomists and finance economists because of the long-standing separation between the two disciplines. To understand important aspects of the recent intertwined financial crisis and economic recession, a joint macro-finance perspective is likely necessary (e.g., ...
... pose a significant challenge to both macroeconomists and finance economists because of the long-standing separation between the two disciplines. To understand important aspects of the recent intertwined financial crisis and economic recession, a joint macro-finance perspective is likely necessary (e.g., ...
A Post-Crisis Eurozone: Still an Attractive Offer for Central
... interest rates.11 As in the past, the ongoing crisis weakened the domestic general demand, which amplified the banks’ inability to extend loans because of losses. The traditional loosening of monetary policy ends at zero interest rates, but the unorthodox measures that changed the banks’ assets may ...
... interest rates.11 As in the past, the ongoing crisis weakened the domestic general demand, which amplified the banks’ inability to extend loans because of losses. The traditional loosening of monetary policy ends at zero interest rates, but the unorthodox measures that changed the banks’ assets may ...
POLICY MANDATE A PROPOSAL TO CLARIFY THE FED’S Robert P. Black
... Humphrey-Hawkins Act of 1978. This provision states that Fed policy should promote maximum employment, stable prices, and moderate interest rates. These objectives are to be pursued “effectively.” Further, they are to be pursued with due attention to production, investment, real income, productivity ...
... Humphrey-Hawkins Act of 1978. This provision states that Fed policy should promote maximum employment, stable prices, and moderate interest rates. These objectives are to be pursued “effectively.” Further, they are to be pursued with due attention to production, investment, real income, productivity ...
Interaction between Fiscal and Monetary Policy in a Dynamic
... quarter in which the inflation target (or target interval) was pursued. Initial dates vary, with an interval of 1990:1 for New Zealand and 1995:1 for Spain, with a final analysis period in 2001 for all countries except Finland and Spain, due to the transition to the Euro. They compare these data for ...
... quarter in which the inflation target (or target interval) was pursued. Initial dates vary, with an interval of 1990:1 for New Zealand and 1995:1 for Spain, with a final analysis period in 2001 for all countries except Finland and Spain, due to the transition to the Euro. They compare these data for ...
Read Full Text - Economic Research - St. Louis Fed
... argues that the optimal monetary policy is in any case likely to be inflationary. Intuitively, if the lump-sum taxes that are needed to finance a deflation cannot differentiate between lucky and unlucky individuals, then contractionary monetary policy exacerbates the penalty associated with bad luck. ...
... argues that the optimal monetary policy is in any case likely to be inflationary. Intuitively, if the lump-sum taxes that are needed to finance a deflation cannot differentiate between lucky and unlucky individuals, then contractionary monetary policy exacerbates the penalty associated with bad luck. ...
Fiscal Monetary Interactions During the Classical Arunima Sinha (Fordham University)
... Mixed gold standard was operational through most of the 19th century: …duciary money was required to be convertible into gold at the …xed price During wartime, government expenditure was …nanced by taxes, seigniorage revenue and increases in public debt To reassure the public that the real value of ...
... Mixed gold standard was operational through most of the 19th century: …duciary money was required to be convertible into gold at the …xed price During wartime, government expenditure was …nanced by taxes, seigniorage revenue and increases in public debt To reassure the public that the real value of ...
REASSESSING THE EFFECT OF FISCAL AND MONETARY
... frequently voiced, they are rarely investigated. Nevertheless, this study aims to show that these concerns are justified as empirical results demonstrate. The St. Louis equation may no longer be revolutionary and provocative, but so far, its critics have still failed to present any clear evidence to ...
... frequently voiced, they are rarely investigated. Nevertheless, this study aims to show that these concerns are justified as empirical results demonstrate. The St. Louis equation may no longer be revolutionary and provocative, but so far, its critics have still failed to present any clear evidence to ...
Fiscal and Monetary Interaction in Brazil
... the National Treasury is in charge of applying the fiscal policy. Because the benchmark interest rate is applied to the government’s public debt, and the interest rate responds mainly to the central bank’s actions, the necessity of the bank to meet its obligations may be a major hindrance to the ful ...
... the National Treasury is in charge of applying the fiscal policy. Because the benchmark interest rate is applied to the government’s public debt, and the interest rate responds mainly to the central bank’s actions, the necessity of the bank to meet its obligations may be a major hindrance to the ful ...
NBER WORKING PAPER SERIES THE EXPLANATORY POWER OF MONETARY POLICY RULES
... out how monetary policy decisions are, or should be, made. Let me start with the example of the Taylor rule. It says that the short term interest rate equals one-and-a-half times the inflation rate plus one-half times the real GDP utilization rate plus one. So, in 1989, for example, when the federal ...
... out how monetary policy decisions are, or should be, made. Let me start with the example of the Taylor rule. It says that the short term interest rate equals one-and-a-half times the inflation rate plus one-half times the real GDP utilization rate plus one. So, in 1989, for example, when the federal ...
PDF Download
... A stronger divergence in the transmission of monetary policy should lead the ECB to give more attention to those countries which diverge from the average (Gros and Hefeker 2002, Benigno 2004). This recommendation simply follows from the fact that more variability in output and inflation results in i ...
... A stronger divergence in the transmission of monetary policy should lead the ECB to give more attention to those countries which diverge from the average (Gros and Hefeker 2002, Benigno 2004). This recommendation simply follows from the fact that more variability in output and inflation results in i ...
agenda - Hoover Institution
... reserves? How should it adapt to such technological changes in asset markets and private payment systems? What should the Fed and monetary policy know/do about blockchain and other payment technologies? How can we open up the US payments system so all of us have instant electronic transactions at mu ...
... reserves? How should it adapt to such technological changes in asset markets and private payment systems? What should the Fed and monetary policy know/do about blockchain and other payment technologies? How can we open up the US payments system so all of us have instant electronic transactions at mu ...
European Commission
... of an Excessive Deficit Procedure for a euro area Member State (which is based on the deficit criterion), unless a qualified majority of euro area Member States is against the recommendation. Euro area Member States can be subject to financial sanctions if they breach their budgetary obligations und ...
... of an Excessive Deficit Procedure for a euro area Member State (which is based on the deficit criterion), unless a qualified majority of euro area Member States is against the recommendation. Euro area Member States can be subject to financial sanctions if they breach their budgetary obligations und ...
Macroeconomic impacts of commodity price volatility: G20 Report
... research for stating that countercyclical policies are more effective under an inflation-targeting regime. In addition, developing countries, especially LICs, the Report says, could look to take actions to reduce their exposure or create space for more robust responses. “This includes looking to mak ...
... research for stating that countercyclical policies are more effective under an inflation-targeting regime. In addition, developing countries, especially LICs, the Report says, could look to take actions to reduce their exposure or create space for more robust responses. “This includes looking to mak ...
Ch9
... proposal through the OMB’s guidelines reviews and negotiates a budget proposal with each federal agency and the OMB ...
... proposal through the OMB’s guidelines reviews and negotiates a budget proposal with each federal agency and the OMB ...
Written Questions - Lorenzo Bini Smaghi
... much importance to a hypothesis which does not actually materialise. This is interesting because, generally, it is academics who underestimate this type of error and attach greater importance to the first type of error. Empirical research tends to be taken note of when it demonstrates the significa ...
... much importance to a hypothesis which does not actually materialise. This is interesting because, generally, it is academics who underestimate this type of error and attach greater importance to the first type of error. Empirical research tends to be taken note of when it demonstrates the significa ...
Competitive Monetary Easing: Is it yesterday once more?
... I want to focus on unconventional monetary policies (UMP), by which I mean both policies that hold interest rates at near zero for long, as well as balance sheet policies such as quantitative easing or exchange intervention, that involve altering central bank balance sheets in order to affect certai ...
... I want to focus on unconventional monetary policies (UMP), by which I mean both policies that hold interest rates at near zero for long, as well as balance sheet policies such as quantitative easing or exchange intervention, that involve altering central bank balance sheets in order to affect certai ...
Lecture slides, April 14
... — Responses to expected future inßation (“Forward-looking Taylor rule”) — Partial adjustment of interest rates to economic developments ≈ interest rate “smoothing” • Main results for Germany, US and Japan: — The forward-looking Taylor rule describes actual policymaking well (better than “backward-lo ...
... — Responses to expected future inßation (“Forward-looking Taylor rule”) — Partial adjustment of interest rates to economic developments ≈ interest rate “smoothing” • Main results for Germany, US and Japan: — The forward-looking Taylor rule describes actual policymaking well (better than “backward-lo ...
Monetary and Fiscal Policy in England during the French Wars
... preferred the 3 % annuities *** QUOTE and page*** Silberling brings an interesting argument.11 The stock jobbers derived profits from “continuations.” They would borrow from banks at no more than 5% (the usurary rate) and could lend to investors who did not have to pay out the full price of a stock ...
... preferred the 3 % annuities *** QUOTE and page*** Silberling brings an interesting argument.11 The stock jobbers derived profits from “continuations.” They would borrow from banks at no more than 5% (the usurary rate) and could lend to investors who did not have to pay out the full price of a stock ...
The Euro and the Dollar: Toward a "Finance G-2"?
... The ECB’s communication of its policy actions and intentions has not always been as clear as desirable. The decision to create the new currency three years before its physical introduction was possible generated confusion and probably contributed at least partially to the unnecessary depreciation (S ...
... The ECB’s communication of its policy actions and intentions has not always been as clear as desirable. The decision to create the new currency three years before its physical introduction was possible generated confusion and probably contributed at least partially to the unnecessary depreciation (S ...
The Balance of Payments Tells Us the Truth
... It is frequently argued that in a currency union the balances of payments of individual member countries are superfluous, as there is only one currency, one exchange rate, and – as was once thought – only one interest rate, and external economic problems would only affect the entire monetary union. ...
... It is frequently argued that in a currency union the balances of payments of individual member countries are superfluous, as there is only one currency, one exchange rate, and – as was once thought – only one interest rate, and external economic problems would only affect the entire monetary union. ...
Titel
... The D-mark and German unification: myth and reality An experience of life: „one mistake brings on the next“ No political union lax interpretation of the convergence criteria in 1998 (eleven countries) insufficient surveillance by the EU Commission from the start watering down of the Stab ...
... The D-mark and German unification: myth and reality An experience of life: „one mistake brings on the next“ No political union lax interpretation of the convergence criteria in 1998 (eleven countries) insufficient surveillance by the EU Commission from the start watering down of the Stab ...
1. Overview
... The impact of the ongoing tightening measures on credit volume and domestic demand is expected to be more significant during the second half of the year. However, the extent and the timing of the impact may vary depending on the developments beyond the control of monetary policy. The lagged effects ...
... The impact of the ongoing tightening measures on credit volume and domestic demand is expected to be more significant during the second half of the year. However, the extent and the timing of the impact may vary depending on the developments beyond the control of monetary policy. The lagged effects ...
Euro Plus Pact
The Euro-Plus Pact (or Euro+ Pact, also initially called the Competitiveness Pact or later the Pact for the Euro), was adopted in March 2011 under EU's Open Method of Coordination, as an intergovernmental agreement between all member states of the European Union (except Croatia, Czech Republic, Hungary, Sweden and UK), in which concrete commitments were made to be working continuously within a new commonly agreed political general framework for the implementation of structural reforms intended to improve competitiveness, employment, financial stability and the fiscal strength of each country. The plan was advocated by the French and German governments as one of many needed political responses to strengthen the EMU in areas which the European sovereign-debt crisis had revealed as being too poorly constructed.The pact was constructed as an attempt to incentivize increased implementation of structural reforms by each participating EU member state, to improve their performance within the four focus areas of the pact, through: (1) A regular bottom-up inter-governmental political dialogue (learning best practices from each other) and (2) A commitment for each state to include reform measures (freely chosen from a broad list of potential policy action responses) in their annual National Reform Programme for those of the areas found in critical need of improvement. In addition, it also featured a commitment to transpose and operationalize one of the Stability and Growth Pact fiscal rules directly into national legislation - to make it more effectively working, and a commitment to perform regular ""structured dialogue"" for enhanced tax policy coordination in EU.In May 2015, the European Political Strategy Centre (in-house think tank of the European Commission) upon its analysis of the latest set of submitted National Reform Programmes, declared the pact was in a dormant state (not being actively used or referred to by the majority of participating states), and recommended it should be revived by moving it from its current intergovernmental state to become an integrated part of the European Semester in the EU framework law. In the latest approved plan for reforming the EMU, this recommendation was adopted with a target for its transposition to take place at the latest in June 2017.