THE KNOWLEDGE PROBLEM UNDER ALTERNATIVE MONETARY REGIMES William N. Butos I. Introduction
... the Fed is obliged to formulate and implement monetary policy. Notwithstanding the problem of assigning priorities to potentially competing long-term policy goals,5 at both the formulation and execution stages the knowledge problem arises in important ways. Critics of the Fed, spanning the gamut of ...
... the Fed is obliged to formulate and implement monetary policy. Notwithstanding the problem of assigning priorities to potentially competing long-term policy goals,5 at both the formulation and execution stages the knowledge problem arises in important ways. Critics of the Fed, spanning the gamut of ...
Negative Nominal Interest Rates
... overheating and inflation threatens to rise to undesirable levels, the central bank can raise the official policy rate (a short, risk-free nominal interest rate) to any level it deems necessary. During economic downturns, when excess capacity rises and deflation threatens, the official policy rate c ...
... overheating and inflation threatens to rise to undesirable levels, the central bank can raise the official policy rate (a short, risk-free nominal interest rate) to any level it deems necessary. During economic downturns, when excess capacity rises and deflation threatens, the official policy rate c ...
NBER WORKING PAPER SERIES OPTIMAL MONETARY POLICY IN AN OPEN ECONOMY
... Consider a small open economy operating under a regime of ...
... Consider a small open economy operating under a regime of ...
Negative Nominal Interest Rates:Three ways to overcome the zero lower bound
... overheating and inflation threatens to rise to undesirable levels, the central bank can raise the official policy rate (a short, risk-free nominal interest rate) to any level it deems necessary. During economic downturns, when excess capacity rises and deflation threatens, the official policy rate c ...
... overheating and inflation threatens to rise to undesirable levels, the central bank can raise the official policy rate (a short, risk-free nominal interest rate) to any level it deems necessary. During economic downturns, when excess capacity rises and deflation threatens, the official policy rate c ...
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... This approach trades off the loss of power, which results from including unnecessary lags, against the bias that results from excluding necessary lags (Beaulieu and Miron 1993). We have also combined the Akaike Information Criterion (AIC), the Corrected Akaike Information Criterion (AICC), and the S ...
... This approach trades off the loss of power, which results from including unnecessary lags, against the bias that results from excluding necessary lags (Beaulieu and Miron 1993). We have also combined the Akaike Information Criterion (AIC), the Corrected Akaike Information Criterion (AICC), and the S ...
Escaping from a Liquidity Trap and Deflation: The
... not ended stagnation but has lead to huge national debt, close to 150 percent of GDP at the end of 2001 and still increasing (International Monetary Fund (2002)). With regard to monetary policy, Bank of Japan lowered the interest rate to zero and kept it there from February 1999 to August 2000, and ...
... not ended stagnation but has lead to huge national debt, close to 150 percent of GDP at the end of 2001 and still increasing (International Monetary Fund (2002)). With regard to monetary policy, Bank of Japan lowered the interest rate to zero and kept it there from February 1999 to August 2000, and ...
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... substantial part of the economy. Fluctuations in the export revenues of these countries may cause adverse effects on the economy as the whole. To guard against these effects, most developing countries have taken steps to stabilize their export proceeds by acting at two levels. First, at the domestic ...
... substantial part of the economy. Fluctuations in the export revenues of these countries may cause adverse effects on the economy as the whole. To guard against these effects, most developing countries have taken steps to stabilize their export proceeds by acting at two levels. First, at the domestic ...
Inflation stabilization in Bolivia
... stabilization, there is some evidence that cocaine producers were major suppliers of foreign exchange to the crucial black market. It may be conjectured that, with a stable demand for foreign exchange, the characteristic price jerks in the black market were caused by supply shock derived from the va ...
... stabilization, there is some evidence that cocaine producers were major suppliers of foreign exchange to the crucial black market. It may be conjectured that, with a stable demand for foreign exchange, the characteristic price jerks in the black market were caused by supply shock derived from the va ...
accounting implications of foreign currency transactions translation
... this regard, the author H. P. Troberg (1987, 318) gives a numeric argument of this statement, noting that “of the top ten individual problems of the 88 ones evaluated by international accounting experts, there are five related to currency translation”. T. Doupnik and H. Perera (2007, VI) cite the re ...
... this regard, the author H. P. Troberg (1987, 318) gives a numeric argument of this statement, noting that “of the top ten individual problems of the 88 ones evaluated by international accounting experts, there are five related to currency translation”. T. Doupnik and H. Perera (2007, VI) cite the re ...
Criteria To Be Considered In Assessing A Country`s
... In this paper I compare and discuss the foreign exchange currency regime options available to Argentina (section 1) and then discuss the formal criteria to assess a country’s readiness for dollarization (section 2). Alternative exchange rate regimes have different implications for the amount of dome ...
... In this paper I compare and discuss the foreign exchange currency regime options available to Argentina (section 1) and then discuss the formal criteria to assess a country’s readiness for dollarization (section 2). Alternative exchange rate regimes have different implications for the amount of dome ...
International Economics: Feenstra/Taylor 2/e
... Key Issues • Extending the IS-LM model (short run) to the open economy • Two main changes: inclusion of the trade balance; and equilibrium in the foreign exchange market • Monetary and fiscal policy under flexible exchange rates and fixed rates ...
... Key Issues • Extending the IS-LM model (short run) to the open economy • Two main changes: inclusion of the trade balance; and equilibrium in the foreign exchange market • Monetary and fiscal policy under flexible exchange rates and fixed rates ...
The International Monetary System
... and the International Monetary Fund Goals and Structure of the IMF • The IMF agreement tried to incorporate sufficient flexibility to allow countries to attain external balance without sacrificing internal objectives or fixed exchange rates. • Two major features of the IMF Articles of Agreement he ...
... and the International Monetary Fund Goals and Structure of the IMF • The IMF agreement tried to incorporate sufficient flexibility to allow countries to attain external balance without sacrificing internal objectives or fixed exchange rates. • Two major features of the IMF Articles of Agreement he ...
Stephen J. Turnovsky Jonathan Eaton Working Paper No. 1138
... to increase its sensitivity to foreign disturbances. The effect of more elastic speculation on the sensitivity of the price level to domestic output supply and money demand shocks depends upon the share of domestic bonds in domestic wealth and the interest elasticity of bond demand with respect to t ...
... to increase its sensitivity to foreign disturbances. The effect of more elastic speculation on the sensitivity of the price level to domestic output supply and money demand shocks depends upon the share of domestic bonds in domestic wealth and the interest elasticity of bond demand with respect to t ...
NBER WORKING PAPERS SERIES STABILIZATION AND POLICIES IN CENTRAL AND EASTERN EUROPE:
... in brazil constitutes the only experience with monetary reform. However, partial reforms where a proportion of the public debt has been either blocked or transformed into lower value titles have taken place in a number of countries, including Argentina and Chile. When the first version of this paper ...
... in brazil constitutes the only experience with monetary reform. However, partial reforms where a proportion of the public debt has been either blocked or transformed into lower value titles have taken place in a number of countries, including Argentina and Chile. When the first version of this paper ...
Exchange Rate Regime: Does it Matter for Inflation?
... exchange rate regimes, monetary growth and exchange rate changes are far more important in countries with floating exchange rate regimes. For Bleaney (1999), the most consistent finding since 1973 is that pegged exchange rate regimes are associated with inflation rates at least 10 percent a year low ...
... exchange rate regimes, monetary growth and exchange rate changes are far more important in countries with floating exchange rate regimes. For Bleaney (1999), the most consistent finding since 1973 is that pegged exchange rate regimes are associated with inflation rates at least 10 percent a year low ...
DISCUSSION PAPERS THE MAKING OF THE TURKISH FINANCIAL CRISIS
... That the Turkish crisis has proved much deeper than most crises in emerging markets is not only due to problems in the design of the stabilization program. Equally important is mismanagement in crisis intervention, which had been premised, as in most other emerging markets, on restoring confidence, ...
... That the Turkish crisis has proved much deeper than most crises in emerging markets is not only due to problems in the design of the stabilization program. Equally important is mismanagement in crisis intervention, which had been premised, as in most other emerging markets, on restoring confidence, ...
euro area and member states
... make changes to national laws and rules, notably governing its national central bank and other monetary issues, in order to make them compatible with the Treaty. In particular, national central banks must be independent, such that the monetary policy decided by the European Central Bank is also inde ...
... make changes to national laws and rules, notably governing its national central bank and other monetary issues, in order to make them compatible with the Treaty. In particular, national central banks must be independent, such that the monetary policy decided by the European Central Bank is also inde ...
Article title – tytuł artykułu
... standard and lasted until 1931 due to a very competitive and aggressive depreciation policy run by the most powerful central banks, the frequently change of the structure of international reserves for small countries that had no gold to support their own local currency and the credit expansion promo ...
... standard and lasted until 1931 due to a very competitive and aggressive depreciation policy run by the most powerful central banks, the frequently change of the structure of international reserves for small countries that had no gold to support their own local currency and the credit expansion promo ...
NBER WORKING PAPER SERIES FRANCE AND THE BRETFON WOODS Michael D. Bordo
... their currencies convertible during a three-year transition period after establishment of the Fund. (3) International aid and assistance. Members could obtain resources from the Fund to help finance short ...
... their currencies convertible during a three-year transition period after establishment of the Fund. (3) International aid and assistance. Members could obtain resources from the Fund to help finance short ...
exchange rate volatility and foreign direct investment in sri lanka
... Stancik (2007) has identified many factors which contribute to real exchange rate misalignment. Among these main factors are; the level of output, inflation, the openness of an economy, interest rates, domestic and foreign money supply, the exchange rate regime and central bank independence. The deg ...
... Stancik (2007) has identified many factors which contribute to real exchange rate misalignment. Among these main factors are; the level of output, inflation, the openness of an economy, interest rates, domestic and foreign money supply, the exchange rate regime and central bank independence. The deg ...
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... sent difference in interest rates is smaller than ever. Thus compared to the recent past there is no particular reason for a portfolio shift in favour of euro assets. Nor is there any clear evidence that growth prospects are better in Europe than in the United States: the crisis is at least as sever ...
... sent difference in interest rates is smaller than ever. Thus compared to the recent past there is no particular reason for a portfolio shift in favour of euro assets. Nor is there any clear evidence that growth prospects are better in Europe than in the United States: the crisis is at least as sever ...
Why may large economies suffer more at the zero lower bound?
... zero lower bound on interest rates (ZLB). One particularly important effect of the ZLB is its role in changing the behavior of the economy. For instance, negative demand shocks (e.g. to time preference or investment) that occur in a ZLB period can lower output by much more than in normal times (Gust ...
... zero lower bound on interest rates (ZLB). One particularly important effect of the ZLB is its role in changing the behavior of the economy. For instance, negative demand shocks (e.g. to time preference or investment) that occur in a ZLB period can lower output by much more than in normal times (Gust ...
DP2006/09 Uncovering the Hit-list for Small Inflation Targeters: A Bayesian Structural Analysis
... enhanced by providing explicit statements of how alternative stabilization objectives are weighted (see Svensson 2005) and our analysis provides such statements. Finally, historical estimates of stabilization objectives (conditioned on an explicit structural and microfounded model) provide a framewo ...
... enhanced by providing explicit statements of how alternative stabilization objectives are weighted (see Svensson 2005) and our analysis provides such statements. Finally, historical estimates of stabilization objectives (conditioned on an explicit structural and microfounded model) provide a framewo ...