Economic fundamentals do matter for the NZD/AUD exchange rate occasional paper
... supply and demand in the economy. Accordingly, if an economy is experiencing a business cycle upswing relative to its trading partners, the real exchange rate should tend to appreciate. 'Portfolio balance' type behaviour in financial markets may lead to a positive relationship between real exchange ...
... supply and demand in the economy. Accordingly, if an economy is experiencing a business cycle upswing relative to its trading partners, the real exchange rate should tend to appreciate. 'Portfolio balance' type behaviour in financial markets may lead to a positive relationship between real exchange ...
Introduction
... (a stock) were required to be less than 60 percent of GDP © Kenneth A. Reinert, Cambridge University Press 2012 ...
... (a stock) were required to be less than 60 percent of GDP © Kenneth A. Reinert, Cambridge University Press 2012 ...
No. 193. A Simultaneous Model of the Swedish Krona, the US Dollar
... the consumer price index in the home country compared to the foreign country, leading to an appreciation of the real exchange rate. A foreign consumption bias would instead lead to a depreciation. Empirically a positive terms of trade shock has in most cases been found to lead to a significant appre ...
... the consumer price index in the home country compared to the foreign country, leading to an appreciation of the real exchange rate. A foreign consumption bias would instead lead to a depreciation. Empirically a positive terms of trade shock has in most cases been found to lead to a significant appre ...
Does the Exchange Rate Regime Matter for Inflation? Ilker Domaç
... forefront as a result of the recent crises in Asia, Russia, Brazil, and more recently economic developments in Argentina. More precisely, the debate over fixed and flexible exchange regimes has once again taken center stage. Some claimed that the first round of this debate was won by those advocatin ...
... forefront as a result of the recent crises in Asia, Russia, Brazil, and more recently economic developments in Argentina. More precisely, the debate over fixed and flexible exchange regimes has once again taken center stage. Some claimed that the first round of this debate was won by those advocatin ...
Monetary Policy in Tonga - USP Electronic Research Repository
... However, after initial rise in domestic production, exports did not take off. The secondhalf of the 1990s and early years of 2000 witnessed a weakened budget discipline and policy slippages and poor governance threatened macroeconomic stability. Losses in the US stock market due to risky management ...
... However, after initial rise in domestic production, exports did not take off. The secondhalf of the 1990s and early years of 2000 witnessed a weakened budget discipline and policy slippages and poor governance threatened macroeconomic stability. Losses in the US stock market due to risky management ...
Monetary Policy and Japan s Liquidity Trap
... immanent fiscal consolidation with increased taxes and/or reduced benefits. Japan has certainly tried an expansionary fiscal policy. This has not led to an escape from the liquidity trap, but it has certainly led to a dramatic deterioration of Japan’s public finances. A money-financed rather than de ...
... immanent fiscal consolidation with increased taxes and/or reduced benefits. Japan has certainly tried an expansionary fiscal policy. This has not led to an escape from the liquidity trap, but it has certainly led to a dramatic deterioration of Japan’s public finances. A money-financed rather than de ...
AND THE REAL EXCHANGE RATE José Dc Gregorio Holger C. Wolf
... A second strand of literature identifies relative price movements within the tradables sector, specifically, movements in the relative price of exports to imports, as another major determinant of real exchange rate movements (Dornbusch, 1980; Green- ...
... A second strand of literature identifies relative price movements within the tradables sector, specifically, movements in the relative price of exports to imports, as another major determinant of real exchange rate movements (Dornbusch, 1980; Green- ...
Portfolio Balance and Balance of Payments Sterilization
... the fact that if s = s'^ a U.S. deficit of dR/dt induces the U.S. to change the world money supply by s(dR/dt) while inducing a change in the world money supply of -s(dR/dt) by the U.K. ...
... the fact that if s = s'^ a U.S. deficit of dR/dt induces the U.S. to change the world money supply by s(dR/dt) while inducing a change in the world money supply of -s(dR/dt) by the U.K. ...
Macroeconomic Factors Thoroughbred Industry
... actual Iy positive and significant y different from zero at the 10 percent level, The interest rate variable may be picking up variation associated with an omitted variable which is positively linked to prices (e.g., international yearling supplies and inflation). Attempts to incorporate some of tho ...
... actual Iy positive and significant y different from zero at the 10 percent level, The interest rate variable may be picking up variation associated with an omitted variable which is positively linked to prices (e.g., international yearling supplies and inflation). Attempts to incorporate some of tho ...
FINANCIAL ASPECTS OF CENTRAL BANK
... amounts of assets in the past. In monetary union most of these assets are not needed any more and these could be dispensed with. But little has been done so far. Turkey constitutes an interesting case for the study of the implications of price stability for fiscal policy because this country is well ...
... amounts of assets in the past. In monetary union most of these assets are not needed any more and these could be dispensed with. But little has been done so far. Turkey constitutes an interesting case for the study of the implications of price stability for fiscal policy because this country is well ...
The Free Banking Era and Online Currencies
... of then have now been replaced by the alternate online currencies. There is, for example, Bitcoin which was created in 2009, as said in the introduction to this paper, by a pseudonymous developer by the name of Satoshi Nakamoto. Bitcoin is, just like privately issued notes of the Free Banking era, a ...
... of then have now been replaced by the alternate online currencies. There is, for example, Bitcoin which was created in 2009, as said in the introduction to this paper, by a pseudonymous developer by the name of Satoshi Nakamoto. Bitcoin is, just like privately issued notes of the Free Banking era, a ...
J. Richardson
... The great advantage of a floating exchange rate system was to have been that the adjustment would take place automatically through currency appreciations and depreciations, removing the need for otherwise undesirable trade and capital controls, and allowing governments to concentrate their policies ...
... The great advantage of a floating exchange rate system was to have been that the adjustment would take place automatically through currency appreciations and depreciations, removing the need for otherwise undesirable trade and capital controls, and allowing governments to concentrate their policies ...
NBER WORKING PAPER SERIES DOLLAR SHORTAGES AND CRISES Raghuram G. Rajan Working Paper
... speedy, and predictable sharing of adverse economic circumstances, and the tendency of the government is to spread the burden along the path of least resistance, economic agents will take steps to protect themselves. But without a reliable and effective legal system, what can they do? Clearly the an ...
... speedy, and predictable sharing of adverse economic circumstances, and the tendency of the government is to spread the burden along the path of least resistance, economic agents will take steps to protect themselves. But without a reliable and effective legal system, what can they do? Clearly the an ...
NBER WORKING PAPER SERIES INTERNATIONAL MACROECONOMIC POLICY COORDINATION Stanley Fischer
... 3. These results are averages, based on simulations of twelve econometric models. Some variables are not calculated in certain models, though in all cases there are at least ten estimates. Ranges of estimates vary; information on the ranges is reported in Holtham (1986). 4. The interest rate is a sh ...
... 3. These results are averages, based on simulations of twelve econometric models. Some variables are not calculated in certain models, though in all cases there are at least ten estimates. Ranges of estimates vary; information on the ranges is reported in Holtham (1986). 4. The interest rate is a sh ...
Currency Misalignments and Growth: A New Look using ∗ Sophie Béreau
... Balassa-Samuelson (BS) doctrine. Roughly speaking, according to this hypothesis, the recurrent deviations of the real exchange rate from its long-run value come from the link between currency appreciation and productivity catch-up in developing economies. The real exchange rate is also supposed to d ...
... Balassa-Samuelson (BS) doctrine. Roughly speaking, according to this hypothesis, the recurrent deviations of the real exchange rate from its long-run value come from the link between currency appreciation and productivity catch-up in developing economies. The real exchange rate is also supposed to d ...
the impact of crude palm oil price on rupiah`s rate
... To measure the average price, economists formulate an index of average prices of distinctive commodities based on their contribution; we recognize it as Consumer Price Index or CPI, (Lipsey, 1995). Inflation is driven by the cost push and demand pull inflation, (Samuelson and Nordhaus, 2004); an inc ...
... To measure the average price, economists formulate an index of average prices of distinctive commodities based on their contribution; we recognize it as Consumer Price Index or CPI, (Lipsey, 1995). Inflation is driven by the cost push and demand pull inflation, (Samuelson and Nordhaus, 2004); an inc ...
Demand Imbalances, Exchange Rate Misalignment and Monetary Policy
... Besides Devereux and Engel [2007], our paper is related to a number of contributions studying optimal monetary policy in two-country models with incomplete financial markets and standard technology shocks.8 Devereux and Sutherland [2007] study a setting similar to ours but in which markets are effect ...
... Besides Devereux and Engel [2007], our paper is related to a number of contributions studying optimal monetary policy in two-country models with incomplete financial markets and standard technology shocks.8 Devereux and Sutherland [2007] study a setting similar to ours but in which markets are effect ...
The Creation of the Euro and the Role of the Dollar
... The dollar is the main currency that functions as a unit of account for private international transactions. Although data on the currency of invoice in international trade are limited, the available data confirm the dominance of the dollar. In 1995 the U.S. dollar was used as the invoice currency fo ...
... The dollar is the main currency that functions as a unit of account for private international transactions. Although data on the currency of invoice in international trade are limited, the available data confirm the dominance of the dollar. In 1995 the U.S. dollar was used as the invoice currency fo ...
table 1 here
... The “contagion” describes the situation where a country undergoes an economic shock such as a devaluation and a stock exchange crash, following a similar crisis in another country. The theories which explain the transmission mechanisms of this “virus” can be placed into two different categories. Acc ...
... The “contagion” describes the situation where a country undergoes an economic shock such as a devaluation and a stock exchange crash, following a similar crisis in another country. The theories which explain the transmission mechanisms of this “virus” can be placed into two different categories. Acc ...
The Interactions of Strength of Governments and Alternative
... exchange rate regimes running from hard fixes on one end to free floating on the other. They were enshrined in the Bretton Woods international monetary system to avoid the perceived disadvantages of both fixed and freely flexible exchange rate regimes. This compromise system worked well so long as i ...
... exchange rate regimes running from hard fixes on one end to free floating on the other. They were enshrined in the Bretton Woods international monetary system to avoid the perceived disadvantages of both fixed and freely flexible exchange rate regimes. This compromise system worked well so long as i ...
(1994) "The P-star model in five small economies,"
... abstract from these factors and focus on the interaction between changes in inflation and deviations from long-run equilibrium. HPS (1991) originally applied a version of equation 4 to quarterly U.S. data. They use M2 as the money stock and assume that the corresponding equilibrium velocity is a con ...
... abstract from these factors and focus on the interaction between changes in inflation and deviations from long-run equilibrium. HPS (1991) originally applied a version of equation 4 to quarterly U.S. data. They use M2 as the money stock and assume that the corresponding equilibrium velocity is a con ...
NBER WORKING PAPER SERIES MONETARY UNIONS, EXTERNAL SHOCKS AND ECONOMIC
... (Frankel and Rose, 1998). More specifically, (neighboring) countries that share a common currency will experience an increase in bilateral international trade in goods, a point forcefully made by Rose (2000), and Rose and Van Wincoop (2001), among others. Edwards (1999), and Powel and Sturzenegger ( ...
... (Frankel and Rose, 1998). More specifically, (neighboring) countries that share a common currency will experience an increase in bilateral international trade in goods, a point forcefully made by Rose (2000), and Rose and Van Wincoop (2001), among others. Edwards (1999), and Powel and Sturzenegger ( ...
The role of asymmetric information among investors in
... Customers are investors and they are the ultimate end-users of currency. They trigger the initial currency exchange by placing buy or sell orders with dealers. Dealers are intermediaries in the market and they quote prices, provide liquidity, and attempt to profit (and take risks) by holding position ...
... Customers are investors and they are the ultimate end-users of currency. They trigger the initial currency exchange by placing buy or sell orders with dealers. Dealers are intermediaries in the market and they quote prices, provide liquidity, and attempt to profit (and take risks) by holding position ...