Keynes`s approach to money
... provided that they move forward in step” so that clearing losses are compensated by gains. (TOMa p. 23) Finally, in his defense of the GT, he argued “my analysis is not based…on the assumption that the quantity of money is constant.” (CW 14 p. 232) This would seem to be a rejection of the textbook p ...
... provided that they move forward in step” so that clearing losses are compensated by gains. (TOMa p. 23) Finally, in his defense of the GT, he argued “my analysis is not based…on the assumption that the quantity of money is constant.” (CW 14 p. 232) This would seem to be a rejection of the textbook p ...
chapter 16 - McGraw Hill Higher Education
... implicit cost, since the Fed frowns on banks that try to borrow from it too often. ...
... implicit cost, since the Fed frowns on banks that try to borrow from it too often. ...
Should the Federal Reserve Pay Competitive Interest on Reserves?
... on reserves in the steady state; moreover, the Planner would vary the tax in a systematic way in response to real and financial market shocks. The second example is a bank (over) lending externality. We do not present a serious calibration of this externality, but as we shall see, this externality i ...
... on reserves in the steady state; moreover, the Planner would vary the tax in a systematic way in response to real and financial market shocks. The second example is a bank (over) lending externality. We do not present a serious calibration of this externality, but as we shall see, this externality i ...
P R I C E S TA B I L... W H Y I S I T I M P... F O R YO U ?
... national central banks (NCBs) of the euro area countries, has a clear mandate assigned by the Treaty ...
... national central banks (NCBs) of the euro area countries, has a clear mandate assigned by the Treaty ...
price stability - ECB
... national central banks (NCBs) of the euro area countries, has a clear mandate assigned by the Treaty ...
... national central banks (NCBs) of the euro area countries, has a clear mandate assigned by the Treaty ...
Liquidity Traps, Capital Flows and Currency Wars
... in a small open economy involves devaluing the currency, and temporarily adopting a peg and a price-level target. Jeanne (2009), Haberis and Lipinska (2012) and Fujiwara et al. (2013) study two-country models in which a large shock in one country can lead to a worldwide liquidity trap. In a similar ...
... in a small open economy involves devaluing the currency, and temporarily adopting a peg and a price-level target. Jeanne (2009), Haberis and Lipinska (2012) and Fujiwara et al. (2013) study two-country models in which a large shock in one country can lead to a worldwide liquidity trap. In a similar ...
This PDF is a selection from an out-of-print volume from... of Economic Research Volume Title: Monetary Policy Rules
... which are not yet determined. The next step is to derive the efficient combinations of rn and n-the combinations that put the economy on the outputinflation variance frontier. As discussed in the appendix, the set of efficient policies depends on the coefficients in equations (I), ( 2 ) ,and (3) but ...
... which are not yet determined. The next step is to derive the efficient combinations of rn and n-the combinations that put the economy on the outputinflation variance frontier. As discussed in the appendix, the set of efficient policies depends on the coefficients in equations (I), ( 2 ) ,and (3) but ...
Long-run Money Demand in OECD Countries: Cross
... induced many central banks in developed countries to switch from money targeting to the interest rate as monetary policy instrument. The very same was proposed by Poole (1970) who showed that the interest rate should be targeted if the money demand function is unstable. The identification of the opt ...
... induced many central banks in developed countries to switch from money targeting to the interest rate as monetary policy instrument. The very same was proposed by Poole (1970) who showed that the interest rate should be targeted if the money demand function is unstable. The identification of the opt ...
A Regime-Switching SVAR Analysis of Quantitative Easing
... We are grateful to Toni Braun, James Hamilton, and George Tauchen for useful comments and suggestions. ...
... We are grateful to Toni Braun, James Hamilton, and George Tauchen for useful comments and suggestions. ...
Monetary Policy Frameworks in the SAARC
... monetary policy among all countries. Almost all of them have indirect instruments of monetary policy, such as the open market operations, cash reserve requirement and standing facilities, in their use. However, the devil is in the details. Many of the countries are still targeting reserve money, whi ...
... monetary policy among all countries. Almost all of them have indirect instruments of monetary policy, such as the open market operations, cash reserve requirement and standing facilities, in their use. However, the devil is in the details. Many of the countries are still targeting reserve money, whi ...
Estimation of Optimal International Reserves for Costa Rica: A Micro
... speculative attacks against the national currency. Currently, the BCCR uses two different ways to determine the amount of reserves that is needed: an ad hoc estimation following the Guidotti rule and an optimization model developed by Muñoz and Tenorio (2010), which is based on a methodology by Ben- ...
... speculative attacks against the national currency. Currently, the BCCR uses two different ways to determine the amount of reserves that is needed: an ad hoc estimation following the Guidotti rule and an optimization model developed by Muñoz and Tenorio (2010), which is based on a methodology by Ben- ...
an empirical study of the yen/dollar exchange rate
... associated with an increase in conditional yen/dollar volatility. Similarly, Baillie and Humpage (1992) find a positive relationship between Federal Reserve, Bank of Japan and Bundesbank intervention and the conditional volatility of the mark/dollar and yen/dollar exchange rates for the period Febr ...
... associated with an increase in conditional yen/dollar volatility. Similarly, Baillie and Humpage (1992) find a positive relationship between Federal Reserve, Bank of Japan and Bundesbank intervention and the conditional volatility of the mark/dollar and yen/dollar exchange rates for the period Febr ...
Estimating Trade Elasticities for World Capital Goods Exports
... and dynamic ordinary least squares estimation to obtain these elasticities. The results indicate that capital goods exports from the U.K and the U.S respond to exchange rate changes. This implies that the depreciation of the pound since the advent of the GFC has acted as a safety valve by stimulatin ...
... and dynamic ordinary least squares estimation to obtain these elasticities. The results indicate that capital goods exports from the U.K and the U.S respond to exchange rate changes. This implies that the depreciation of the pound since the advent of the GFC has acted as a safety valve by stimulatin ...
Is Why We Use Money Important?
... promise to respond in kind then this “credit arrangement,” involving giving up goods in exchange for nothing but a promise that others will respond in kind, would be the most efficient means of exchange. However, if Ms. Burger Queen’s trading history is not public information or there were no way to ...
... promise to respond in kind then this “credit arrangement,” involving giving up goods in exchange for nothing but a promise that others will respond in kind, would be the most efficient means of exchange. However, if Ms. Burger Queen’s trading history is not public information or there were no way to ...
Money, Liquidity, Credit, and Debt
... transmission mechanism from monetary policy to economic activity and inflation. Conceptually, the notion of money has been linked to the formulation of monetary policy and the need for money growth to be in line with the desired real growth rate and level of inflation, given an assumption on the vel ...
... transmission mechanism from monetary policy to economic activity and inflation. Conceptually, the notion of money has been linked to the formulation of monetary policy and the need for money growth to be in line with the desired real growth rate and level of inflation, given an assumption on the vel ...
Intranational, Intracontinental, and Intraplanetary PPP*
... 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 out, those long time series encompass periods in which nominal exchange rate regimes shifted from floating to fixed and back again. The panel appro ...
... 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 out, those long time series encompass periods in which nominal exchange rate regimes shifted from floating to fixed and back again. The panel appro ...
Principles of Economics, Case and Fair,9e
... CHAPTER OUTLINE Interest Rates and Bond Prices The Demand for Money The Transaction Motive The Speculation Motive The Total Demand for Money The Effects of Income and the Price Level on the Demand for Money The Equilibrium Interest Rate Supply and Demand in the Money Market Changing the Money Supply ...
... CHAPTER OUTLINE Interest Rates and Bond Prices The Demand for Money The Transaction Motive The Speculation Motive The Total Demand for Money The Effects of Income and the Price Level on the Demand for Money The Equilibrium Interest Rate Supply and Demand in the Money Market Changing the Money Supply ...
Reading The Determinants of Interest Rates
... systems are currently in a state of flux as a result of monetary union itself (the Lucas critique). National economies are increasingly open to the influence of international financial markets. Short-term capital can move rapidly between currency areas in search of higher returns, disrupting the ope ...
... systems are currently in a state of flux as a result of monetary union itself (the Lucas critique). National economies are increasingly open to the influence of international financial markets. Short-term capital can move rapidly between currency areas in search of higher returns, disrupting the ope ...
monetary policy in an open economy: its objectives instruments
... this fall in national income may be assumed to translate itself into a fall in the level of prices and incomes, without a fall in the volume of production. In reality, where perfect competition does not exist, and least of all in the sphere of income formation, the volume of production will be affec ...
... this fall in national income may be assumed to translate itself into a fall in the level of prices and incomes, without a fall in the volume of production. In reality, where perfect competition does not exist, and least of all in the sphere of income formation, the volume of production will be affec ...