Monetary Policy and the Jamaican Economy
... monetary policy impulses are transmitted by both the money channel and the credit channel via a process of portfolio substitution. Monetary policy, through its primary and by all indications, most effective tool- reverse repurchase rate, exerts significant leverage over the financial system. The mar ...
... monetary policy impulses are transmitted by both the money channel and the credit channel via a process of portfolio substitution. Monetary policy, through its primary and by all indications, most effective tool- reverse repurchase rate, exerts significant leverage over the financial system. The mar ...
Chapter 21
... and net exports are not sensitive to the real interest rate. If any of those components rises, driving aggregate demand up at every level of the real interest rate, the long-run real interest rate must go up. • When potential output goes up, the longrun real interest rate must fall. ...
... and net exports are not sensitive to the real interest rate. If any of those components rises, driving aggregate demand up at every level of the real interest rate, the long-run real interest rate must go up. • When potential output goes up, the longrun real interest rate must fall. ...
Chapter 13 Money & Banking
... comprised of coins, paper money and (gold certificates/checkable deposits). 7. The major component of M1 is (currency/checkable deposits). 8. The volume of M1 is closer to ($1/$3/$4) trillion. 9. (M1/M2) includes non-checkable savings accounts, MMA’s & TDs under $100,000. 10. (Fiat/Commodity) money ...
... comprised of coins, paper money and (gold certificates/checkable deposits). 7. The major component of M1 is (currency/checkable deposits). 8. The volume of M1 is closer to ($1/$3/$4) trillion. 9. (M1/M2) includes non-checkable savings accounts, MMA’s & TDs under $100,000. 10. (Fiat/Commodity) money ...
Emerging market currency composition of reserves
... The next section provides historical evidence consistent with the use of the domestic currency as numeraire. The share of the dollar in reserves is higher where the domestic currency varies less against the dollar than other major currencies. ...
... The next section provides historical evidence consistent with the use of the domestic currency as numeraire. The share of the dollar in reserves is higher where the domestic currency varies less against the dollar than other major currencies. ...
MONETARY POLICY
... this purchasing power and encourages us to convert the official currency, at a cost, into something with more lasting value—like land, gold, diamonds, baseball cards, or a stable foreign currency. If a single object can be effective as both a medium of exchange and a store of value, we gain the adva ...
... this purchasing power and encourages us to convert the official currency, at a cost, into something with more lasting value—like land, gold, diamonds, baseball cards, or a stable foreign currency. If a single object can be effective as both a medium of exchange and a store of value, we gain the adva ...
NBER WORKING PAPER SERIES MONETARY POLICY AND EXCHANGE RATE Jordi Galí
... setting structure and the assumption of complete Þnancial markets, give rise to a highly tractable framework and to simple and intuitive log-linearized equilibrium conditions for the small open economy. In fact, the latter can be reduced to a Þrst order, two-equation dynamical system for domestic i ...
... setting structure and the assumption of complete Þnancial markets, give rise to a highly tractable framework and to simple and intuitive log-linearized equilibrium conditions for the small open economy. In fact, the latter can be reduced to a Þrst order, two-equation dynamical system for domestic i ...
ESSAYS ON FLEXIBLE EXCHANGE RATES By Paul Robin Krugman
... who regard the exchange rate as (nothing but) the relative price of two monies, and those who regard it as (also) the relative price of domestic and foreign goods. ...
... who regard the exchange rate as (nothing but) the relative price of two monies, and those who regard it as (also) the relative price of domestic and foreign goods. ...
the crisis at the end of Chapter 14
... • Central bank: buy (sell) assets to increase (decrease) money supply • Public: use money as legal tender ...
... • Central bank: buy (sell) assets to increase (decrease) money supply • Public: use money as legal tender ...
NBER WORKING PAPER SERIES STOPPING HYPERINFLATIONS Stanley Fischer Working Paper No. 1810
... price level dynamics. In terms of Figure 2, straining the model a bit, an exchange rate collapse could certainly throw the economy from a path heading toward B to another one leading to A or even to accelerating hyperinflation below iA A final point concerns deficits that are financed not only by mo ...
... price level dynamics. In terms of Figure 2, straining the model a bit, an exchange rate collapse could certainly throw the economy from a path heading toward B to another one leading to A or even to accelerating hyperinflation below iA A final point concerns deficits that are financed not only by mo ...
A Small New Keynesian Model of the New Zealand Economy
... in the world market can bring import prices equal to its marginal costs at the wholesale level, rigidities arising from inefficient distribution networks and monopolistic retailers can allow domestic import prices to deviate from the world price. Burstein, Neves, and Rebelo (2003) provides a similar ...
... in the world market can bring import prices equal to its marginal costs at the wholesale level, rigidities arising from inefficient distribution networks and monopolistic retailers can allow domestic import prices to deviate from the world price. Burstein, Neves, and Rebelo (2003) provides a similar ...
East African Community: Pre-conditions for an Effective Monetary
... unions, as argued by Honohan and Lane (2000). To this should be added that financial integration (discussed below) might improve monetary transmission mechanisms, which seem to be weak in most EAC countries. Thus Debrun et al. (2011) might underestimate the benefits due to improved monetary stabilit ...
... unions, as argued by Honohan and Lane (2000). To this should be added that financial integration (discussed below) might improve monetary transmission mechanisms, which seem to be weak in most EAC countries. Thus Debrun et al. (2011) might underestimate the benefits due to improved monetary stabilit ...
The Internationalization of the Renminbi
... same way as we discuss basic requisites of other fully fledged reserve currencies. China’s policy for internationalizing the RMB has in some way responded to the risks and problems it faces. China has designed an RMB-based trade policy, via bilateral swap agreements, to spread the international use ...
... same way as we discuss basic requisites of other fully fledged reserve currencies. China’s policy for internationalizing the RMB has in some way responded to the risks and problems it faces. China has designed an RMB-based trade policy, via bilateral swap agreements, to spread the international use ...
International Economics, 10e (Krugman/Obstfeld/Melitz) Chapter 15
... increase investment and possibly consumption of durable goods. The reduction in the interest rate will cause a depreciation of the dollar. Page Ref: 385-388 Difficulty: Moderate 8) What will be the effects of an increase in real output on the interest rate? Answer: An increase in real output will in ...
... increase investment and possibly consumption of durable goods. The reduction in the interest rate will cause a depreciation of the dollar. Page Ref: 385-388 Difficulty: Moderate 8) What will be the effects of an increase in real output on the interest rate? Answer: An increase in real output will in ...
centre for brazilian studies - Latin American Centre
... principle of ‘constrained discretion’, which is the middle ground between ‘rules’ and ‘discretion’. Monetary policy is, thus, taken as the main instrument of macroeconomic policy, but it should not be operated by politicians but by ‘experts’: independent central banks. (ii) The level of economic act ...
... principle of ‘constrained discretion’, which is the middle ground between ‘rules’ and ‘discretion’. Monetary policy is, thus, taken as the main instrument of macroeconomic policy, but it should not be operated by politicians but by ‘experts’: independent central banks. (ii) The level of economic act ...
Government Spending Multipliers and the Zero Lower
... nd another way to increase aggregate demand. The monetary authorities can, for example, convince agents that prices will increase in the future, and the government can increase spending. Christiano, Eichenbaum, and Rebelo (2011), using a theoretical model, nd that the government-spending multiplie ...
... nd another way to increase aggregate demand. The monetary authorities can, for example, convince agents that prices will increase in the future, and the government can increase spending. Christiano, Eichenbaum, and Rebelo (2011), using a theoretical model, nd that the government-spending multiplie ...
IOSR Journal of Economics and Finance (IOSR-JEF)
... Harri, Nalley and Hudson (2009) examine the price relationship through time of the primary agricultural commodities, exchange rates, and oil prices. Using overlapping time periods, the co-integration technique was employed to ascertain the relationship between prices and fluctuations in the strength ...
... Harri, Nalley and Hudson (2009) examine the price relationship through time of the primary agricultural commodities, exchange rates, and oil prices. Using overlapping time periods, the co-integration technique was employed to ascertain the relationship between prices and fluctuations in the strength ...
Balance of Payments: Accounts and Analysis
... order to translate into the chosen unit of account the data that are expressed in the unit of transaction, the exchange rate at the time of the transaction is used To translate the balance of payments from one unit of account to another (e.g., from US$ to national currency) we use the average exch ...
... order to translate into the chosen unit of account the data that are expressed in the unit of transaction, the exchange rate at the time of the transaction is used To translate the balance of payments from one unit of account to another (e.g., from US$ to national currency) we use the average exch ...
NBER WORKING PAPER SERIES THE REAL EFFECTS OF FOREIGN OF CURRENCY SUBSTITUTION
... money's value is eroded in real terms. The capital losses from this source may more than satisfy people's desire to dispose of real foreign money holdings, so a trade deficit and its attendant real appreciation may not be ...
... money's value is eroded in real terms. The capital losses from this source may more than satisfy people's desire to dispose of real foreign money holdings, so a trade deficit and its attendant real appreciation may not be ...
real interest rate - Cabarrus County Schools
... situation of two people, each having a good that the other wants at the right time and place to make an exchange. ...
... situation of two people, each having a good that the other wants at the right time and place to make an exchange. ...
DP2006/03 A Small New Keynesian Model of the New Zealand Economy Philip Liu
... power in international markets. For its export bundle, prices are determined exogenously in the rest of the world. On the import side, competition in the world market is assumed to bring import prices equal to marginal cost at the wholesale level, but rigidities arising from inefficient distribution ...
... power in international markets. For its export bundle, prices are determined exogenously in the rest of the world. On the import side, competition in the world market is assumed to bring import prices equal to marginal cost at the wholesale level, but rigidities arising from inefficient distribution ...