Asymmetrical Effects of the European Monetary Policy
... the short-run to dampen (see the impact of rt 4 on xt in equation (8)) the overheating phases of economy (the impact of output gap on prices in (10)) or to help expansion (by lowering rt 4 again in (8)). The intervention with discount rate is managed through the output or the exchange rate and ...
... the short-run to dampen (see the impact of rt 4 on xt in equation (8)) the overheating phases of economy (the impact of output gap on prices in (10)) or to help expansion (by lowering rt 4 again in (8)). The intervention with discount rate is managed through the output or the exchange rate and ...
Federal Reserve Interest Rate Changes: 2000-2008
... rate of inflation. It therefore seeks a level of interest rates at which the economy will grow at its potential to produce. The interest rate levels that produce this growth rate vary with the course of the business cycle. Different rates are judged appropriate at different times. Changes in interes ...
... rate of inflation. It therefore seeks a level of interest rates at which the economy will grow at its potential to produce. The interest rate levels that produce this growth rate vary with the course of the business cycle. Different rates are judged appropriate at different times. Changes in interes ...
The Impossible Trinity: Where does India stand?
... financial volatility that followed the crisis raised important questions about the current international financial architecture as well as about individual countries’ external macroeconomic policies. Policy-makers dealing with the global crisis have been confronted with the ‘impossible trinity’ or t ...
... financial volatility that followed the crisis raised important questions about the current international financial architecture as well as about individual countries’ external macroeconomic policies. Policy-makers dealing with the global crisis have been confronted with the ‘impossible trinity’ or t ...
The black market exchange rate and Oil prices in
... exports, more than 40 % of GDP and 46 to 70 % of government revenue, see Figure 1, while trade openness, see Table 1, exhibits a high figure of 60% in the same period. As far as the Algerian exchange rate is concerned, the central bank adopted, since 1996, a managed floating exchange rate after a lo ...
... exports, more than 40 % of GDP and 46 to 70 % of government revenue, see Figure 1, while trade openness, see Table 1, exhibits a high figure of 60% in the same period. As far as the Algerian exchange rate is concerned, the central bank adopted, since 1996, a managed floating exchange rate after a lo ...
ECON_CH16_The Federal Reserve and Monetary Policy
... Discount rate—interest rate Fed charges on loans to other banks – affects money supply because it determines reserves banks have to lend ...
... Discount rate—interest rate Fed charges on loans to other banks – affects money supply because it determines reserves banks have to lend ...
A Survey of Singapore`s Monetary Policy
... Although its restrictive monetary policy was causing distress across the world, the US was reluctant to loosen its economic policy reigns. As long as the Wall Street boom persisted, the Fed continued to raise interest rates, which reinforced the rise in rates in Europe and Latin America. Even when t ...
... Although its restrictive monetary policy was causing distress across the world, the US was reluctant to loosen its economic policy reigns. As long as the Wall Street boom persisted, the Fed continued to raise interest rates, which reinforced the rise in rates in Europe and Latin America. Even when t ...
Balance of Payments and Exchange Rates
... experienced a real appreciation with respect to these 2 currencies. However in the long run (over the years), the nominal exchange rate (F/DM or F/SF) also depreciated to account for these relative price changes. ...
... experienced a real appreciation with respect to these 2 currencies. However in the long run (over the years), the nominal exchange rate (F/DM or F/SF) also depreciated to account for these relative price changes. ...
How do resource-driven economies cope with the oil price
... dollar value of imports is not affected, their domestic currency price increases, which makes them less affordable in the oil-exporting country and reduces demand for imports there. The value of remittances transferred by guest workers in the oil-exporting country to their home countries shrinks unl ...
... dollar value of imports is not affected, their domestic currency price increases, which makes them less affordable in the oil-exporting country and reduces demand for imports there. The value of remittances transferred by guest workers in the oil-exporting country to their home countries shrinks unl ...
This PDF is a selection from an out-of-print volume from... Bureau of Economic Research
... from the continent, especially from Germany, and to make it difficult for debtors in enemy countries to acquire sterling through neutral markets. The declaration of moratoria was sure to have similar effects. Even if their own resources had been sufficient to enable them to withstand the losses aris ...
... from the continent, especially from Germany, and to make it difficult for debtors in enemy countries to acquire sterling through neutral markets. The declaration of moratoria was sure to have similar effects. Even if their own resources had been sufficient to enable them to withstand the losses aris ...
Alessio Anzuini, Martina Cecioni and
... announcement, in early August, of outright monetary transactions (OMT) by the ECB Governing Council. This paper describes the analytical tools we used to study the determinants of the nominal euro-dollar exchange rate during the sovereign debt crisis, focusing on its most acute phase. In this period ...
... announcement, in early August, of outright monetary transactions (OMT) by the ECB Governing Council. This paper describes the analytical tools we used to study the determinants of the nominal euro-dollar exchange rate during the sovereign debt crisis, focusing on its most acute phase. In this period ...
IOSR Journal of Economics and Finance (IOSR-JEF)
... cuts--raises output, but worsens current account balances. Conversely, fiscal contraction improves current account balances, but lowers output. More specifically, if a country wants to raise its income level through fiscal expansion, it would have to experience a worsening in trade balances, because ...
... cuts--raises output, but worsens current account balances. Conversely, fiscal contraction improves current account balances, but lowers output. More specifically, if a country wants to raise its income level through fiscal expansion, it would have to experience a worsening in trade balances, because ...
Exchange Rate Regimes and Macroeconomic Volatility: Is ”Fear of
... have a negative impact on investment, and growth, when investment is irreversible. In this case, exchange rate stability may lead to better outcomes. Thus, it is not surprising that the empirical significance of exchange rate policy in macroeconomic performance remains an open question. The modern g ...
... have a negative impact on investment, and growth, when investment is irreversible. In this case, exchange rate stability may lead to better outcomes. Thus, it is not surprising that the empirical significance of exchange rate policy in macroeconomic performance remains an open question. The modern g ...
NBER WORKING PAPER SERIES MONOPOLISTIC COMPETITION AND DEVIATIONS FROM PPP Joshua Aizenman
... for endogenous determination of the extent of staggering prices, focusing on the role of the degree of substitutability between various goods and the stochastic structure in explaining the nature of the resultant equilibrium.7 Suppose that, due to the presence of gains from pre-setting the price ...
... for endogenous determination of the extent of staggering prices, focusing on the role of the degree of substitutability between various goods and the stochastic structure in explaining the nature of the resultant equilibrium.7 Suppose that, due to the presence of gains from pre-setting the price ...
RESEARCH SEMINAR IN INTERNATIONAL ECONOMICS
... Craig Doidge, John Griffin and Rohan Williamson (2000) use both bilateral rates and trade-weighted exchange rates but “score” exposure based on one rate. ...
... Craig Doidge, John Griffin and Rohan Williamson (2000) use both bilateral rates and trade-weighted exchange rates but “score” exposure based on one rate. ...
Modern Currency Wars: The United States versus Japan
... After World War I and much debate, in 1925 the British Chancellor of the Exchequer, Winston Churchill, tried to restore an international standard by pegging the price of gold at £4.86 per ounce—its pre-1914 parity. Many other nations followed suit. But in late 1926, France, which had inflated and de ...
... After World War I and much debate, in 1925 the British Chancellor of the Exchequer, Winston Churchill, tried to restore an international standard by pegging the price of gold at £4.86 per ounce—its pre-1914 parity. Many other nations followed suit. But in late 1926, France, which had inflated and de ...
PP--Monetary Policy
... Federal Funds Rate = Interest rate that the 12 District banks charge Each other on overnight loans ...
... Federal Funds Rate = Interest rate that the 12 District banks charge Each other on overnight loans ...
Portfolio Benefits of The Currency Asset Class
... website at www.merkfunds.com or calling 866-MERK FUND. Please read the prospectus carefully before you invest. Since the Funds primarily invest in foreign currencies, changes in currency exchange rates affect the value of what the Funds own and the price of the Funds’ shares. Investing in foreign in ...
... website at www.merkfunds.com or calling 866-MERK FUND. Please read the prospectus carefully before you invest. Since the Funds primarily invest in foreign currencies, changes in currency exchange rates affect the value of what the Funds own and the price of the Funds’ shares. Investing in foreign in ...
China, the Eurozone and Global Reserve Currencies 2. Potential
... in most respects, is the most obvious candidate. The Euro already rivals the Dollar in some domains, such as currency holdings and private bond placements, and will become a full competitor whenever the Eurozone countries adopt a more integrated fiscal policy. The Chinese Renminbi is likely to acqui ...
... in most respects, is the most obvious candidate. The Euro already rivals the Dollar in some domains, such as currency holdings and private bond placements, and will become a full competitor whenever the Eurozone countries adopt a more integrated fiscal policy. The Chinese Renminbi is likely to acqui ...
Israel - Bank for International Settlements
... value, is bound to affect the conduct of monetary policy and, ultimately, the inflation outcome. The theoretical literature does not offer a clear answer as to how dollarization may affect monetary policy. The base case in point is probably the model by Cowan and Do (2003) where dollarized liabiliti ...
... value, is bound to affect the conduct of monetary policy and, ultimately, the inflation outcome. The theoretical literature does not offer a clear answer as to how dollarization may affect monetary policy. The base case in point is probably the model by Cowan and Do (2003) where dollarized liabiliti ...
Make Your Publication Visible
... of export pricing compares several countries and comes to the conclusion that this imperfect Japanese shifting behavior is unique among industrial countries. While German and U.S. competitors have steadily augmented their export prices, Japanese enterprises reduced them.6 Losses due to imperfect shi ...
... of export pricing compares several countries and comes to the conclusion that this imperfect Japanese shifting behavior is unique among industrial countries. While German and U.S. competitors have steadily augmented their export prices, Japanese enterprises reduced them.6 Losses due to imperfect shi ...
exchange rate regimes for developing and emerging markets
... with the country or countries to whose currencies it plans to peg. Preferences about inflation of the pegging country must be broadly similar to those of the country to which it plans to peg. Flexible labour markets are crucial. This is because with the exchange rate fixed, nominal wages and pri ...
... with the country or countries to whose currencies it plans to peg. Preferences about inflation of the pegging country must be broadly similar to those of the country to which it plans to peg. Flexible labour markets are crucial. This is because with the exchange rate fixed, nominal wages and pri ...
Tapering Talk: The Impact of Expectations of Reduced Federal
... liquid financial systems; these were the markets where they could most easily sell without incurring losses and where there was the most scope for portfolio rebalancing. The obvious contrast is with so-called frontier markets with smaller and less liquid financial systems. This is a reminder that su ...
... liquid financial systems; these were the markets where they could most easily sell without incurring losses and where there was the most scope for portfolio rebalancing. The obvious contrast is with so-called frontier markets with smaller and less liquid financial systems. This is a reminder that su ...
Microsoft Word - WD No 379 Valladao Emergent Brazil
... EMERGENT BRAZIL AND THE CURSE OF THE ‘HEN’S FLIGHT’ | 3 ...
... EMERGENT BRAZIL AND THE CURSE OF THE ‘HEN’S FLIGHT’ | 3 ...
F Abstract INANCIAL
... the stagflationary outcome predicted by the New Structuralist school is not a certain result, when flexible exchange rates, import of intermediate inputs and capital mobility are allowed for. This argument is closely related to the recent theoretical work of Nag and Mukhopadhyay (1998), who show tha ...
... the stagflationary outcome predicted by the New Structuralist school is not a certain result, when flexible exchange rates, import of intermediate inputs and capital mobility are allowed for. This argument is closely related to the recent theoretical work of Nag and Mukhopadhyay (1998), who show tha ...