Causes and Consequences of Global Imbalances
... It may be tempting for developing Asia’s policymakers to believe that once the global crisis subsides and the world economic outlook recovers, the region can return to its pre-crisis strategy of exporting its way into rapid growth. The temptation is all the stronger because this strategy has served ...
... It may be tempting for developing Asia’s policymakers to believe that once the global crisis subsides and the world economic outlook recovers, the region can return to its pre-crisis strategy of exporting its way into rapid growth. The temptation is all the stronger because this strategy has served ...
The Emerging Global Financial Architecture: Tracing and
... Against the backdrop of the most severe financial crisis since the Great Depression, the issue of whether the trilemma – the hypothesis that a country can only achieve two, but not all three, goals of monetary independence, exchange rate stability and financial integration – seems rather distant. We ...
... Against the backdrop of the most severe financial crisis since the Great Depression, the issue of whether the trilemma – the hypothesis that a country can only achieve two, but not all three, goals of monetary independence, exchange rate stability and financial integration – seems rather distant. We ...
accounting implications of foreign currency transactions translation
... corresponding currency hedging are the most complex and the most controversial aspects of international financial reporting. A number of studies dedicated to the exploration of the relative importance of specific problems in the international accounting area have been pointing out their priority for ...
... corresponding currency hedging are the most complex and the most controversial aspects of international financial reporting. A number of studies dedicated to the exploration of the relative importance of specific problems in the international accounting area have been pointing out their priority for ...
Introducción - Banco de España
... rate as the price of an asset which, among other things, depends on money supply's expected path. So long as interventions, even sterilized ones, influence market expectations on the future trend of the quantity of money or interest rates, then foreign exchange rate levels will change during the cur ...
... rate as the price of an asset which, among other things, depends on money supply's expected path. So long as interventions, even sterilized ones, influence market expectations on the future trend of the quantity of money or interest rates, then foreign exchange rate levels will change during the cur ...
Dollarization in Tanzania
... bank can step in as lender of last resort, since it can create domestic currency in case of emergency. For foreign currency deposits, international reserves are the only buffer that exists to stem a liquidity crisis, thereby limiting the central bank’s scope for taking preventative measures. The oth ...
... bank can step in as lender of last resort, since it can create domestic currency in case of emergency. For foreign currency deposits, international reserves are the only buffer that exists to stem a liquidity crisis, thereby limiting the central bank’s scope for taking preventative measures. The oth ...
Financial globalization and exchange rates
... Financial globalization has been one of the most important trends in the world economy in recent decades. This process has involved the accumulation of large gross international investment positions, with foreign asset and liability positions sharply rising, whether scaled by GDP or by domestic fina ...
... Financial globalization has been one of the most important trends in the world economy in recent decades. This process has involved the accumulation of large gross international investment positions, with foreign asset and liability positions sharply rising, whether scaled by GDP or by domestic fina ...
An Analysis of International Imbalances and the
... dangerously dependent upon the US dollar”. Soon after World War II, “the United States occupied an asymmetric position at the center of the international system, running balance-of-payments deficits, providing international reserves to other countries, and acting as export market of last resort” (Ei ...
... dangerously dependent upon the US dollar”. Soon after World War II, “the United States occupied an asymmetric position at the center of the international system, running balance-of-payments deficits, providing international reserves to other countries, and acting as export market of last resort” (Ei ...
NBER WORKING PAPER SERIES
... governor and secondary sources, it appears that monetary policy over the period was guided by the principles of maintaining low inflation and relatively stable output growth. In addition to measures of inflation and economic activity, the Bank also considered a variety of other indicators such as co ...
... governor and secondary sources, it appears that monetary policy over the period was guided by the principles of maintaining low inflation and relatively stable output growth. In addition to measures of inflation and economic activity, the Bank also considered a variety of other indicators such as co ...
Identification of US Monetary Policy Shocks
... regarding the behavior of exchange rates, UIP, both conditional and unconditional, fails during the Volcker era but tends to hold during the post-Volcker era. The conditional excess returns on foreign currency following US monetary shocks are positive in the Volcker era and close to zero in the pos ...
... regarding the behavior of exchange rates, UIP, both conditional and unconditional, fails during the Volcker era but tends to hold during the post-Volcker era. The conditional excess returns on foreign currency following US monetary shocks are positive in the Volcker era and close to zero in the pos ...
- International Growth Centre
... bank can step in as lender of last resort, since it can create domestic currency in case of emergency. For foreign currency deposits, international reserves are the only buffer that exists to stem a liquidity crisis, thereby limiting the central bank’s scope for taking preventative measures. The oth ...
... bank can step in as lender of last resort, since it can create domestic currency in case of emergency. For foreign currency deposits, international reserves are the only buffer that exists to stem a liquidity crisis, thereby limiting the central bank’s scope for taking preventative measures. The oth ...
Equilibrium Exchange Rates - National Bureau of Economic Research
... Most policymakers and many economists believe that real exchange rates can be temporarily pushed away from their long-run equilibrium values by nominal shocks, such as changes in monetary policy or, for that matter, pegging of nominal exchange rates at levels that imply disequilibrium real exchange ...
... Most policymakers and many economists believe that real exchange rates can be temporarily pushed away from their long-run equilibrium values by nominal shocks, such as changes in monetary policy or, for that matter, pegging of nominal exchange rates at levels that imply disequilibrium real exchange ...
U.S. MartinJ. Bailey and George S. Tavias TRADE AND INVESTMENT UNDER FLOATING
... however, that this fact establishes that speculation was either irrational or insufficient. Overshooting: The Case of Sticky Prices Overshooting can occur in any portfolio model in which some markets do not adjust instantaneously. For example, Branson (1977), Dornbusch (1976), and Kouri (1976) have ...
... however, that this fact establishes that speculation was either irrational or insufficient. Overshooting: The Case of Sticky Prices Overshooting can occur in any portfolio model in which some markets do not adjust instantaneously. For example, Branson (1977), Dornbusch (1976), and Kouri (1976) have ...
NBER WORKING PAPER SERIES ASPECTS OF THE OPTIMAL MANAGEMENT OF EXCHANGE RATES
... the recognition of the fact that the optimal exchange rate regime need not be ...
... the recognition of the fact that the optimal exchange rate regime need not be ...
Malaysia`s September 1998 Controls: Background, Context
... were adopted to reflate the economy, later augmented by the currency and capital control measures from September. Looking at the crisis in August 1998, when the United States still showed little inclination to do anything to improve the situation, the Malaysian measures made good sense. The Septembe ...
... were adopted to reflate the economy, later augmented by the currency and capital control measures from September. Looking at the crisis in August 1998, when the United States still showed little inclination to do anything to improve the situation, the Malaysian measures made good sense. The Septembe ...
Managing Sustainable Growth
... in January 2015, CHF/HRK rate rose 15%, thereby substantially propagating Croatian credit default rates, non-performing loans and inciting broad socio-political consequences. The purpose of this paper is to examine (ab)normality of currency exchange rate distributions across Europe, focusing on Croa ...
... in January 2015, CHF/HRK rate rose 15%, thereby substantially propagating Croatian credit default rates, non-performing loans and inciting broad socio-political consequences. The purpose of this paper is to examine (ab)normality of currency exchange rate distributions across Europe, focusing on Croa ...
ESSENTIALS OF INTERNATIONAL ECONOMICS:
... international monetary and financial sphere as an independent phenomenon, which is not connected directly with the external trade and the international factor flows ...
... international monetary and financial sphere as an independent phenomenon, which is not connected directly with the external trade and the international factor flows ...
The Domestic Institutional Sources of Monetary Integration in the
... bargaining, which does vary a great deal across European economies. According the the main argument, a high degree of commercial integration should be associated with stronger preferences for monetary unification only in countries in which there is high degree of wage bargaining coordination, but mu ...
... bargaining, which does vary a great deal across European economies. According the the main argument, a high degree of commercial integration should be associated with stronger preferences for monetary unification only in countries in which there is high degree of wage bargaining coordination, but mu ...
Empirical Exchange Rate Equations for the Commodity Currencies
... examples of well-developed, small open economies. All three are highly integrated into global capital markets and active participants in international trade. Moreover, to varying degrees, all three countries can plausibly be described as “commodity economies”, given the large share primary commoditi ...
... examples of well-developed, small open economies. All three are highly integrated into global capital markets and active participants in international trade. Moreover, to varying degrees, all three countries can plausibly be described as “commodity economies”, given the large share primary commoditi ...
NBER WORKING PAPER SERIES CURRENCY MISALIGNMENTS AND OPTIMAL MONETARY POLICY: A REEXAMINATION
... misalignments. For example, on November 3, 2008, Robert Rubin (former U.S. Secretary of the Treasury) and Jared Bernstein (of the Economic Policy Institute) co-authored an op-ed piece in the New York Times that argued, “Public policy…has been seriously deficient [because of] false choices, grounded ...
... misalignments. For example, on November 3, 2008, Robert Rubin (former U.S. Secretary of the Treasury) and Jared Bernstein (of the Economic Policy Institute) co-authored an op-ed piece in the New York Times that argued, “Public policy…has been seriously deficient [because of] false choices, grounded ...
Download paper (PDF)
... Many papers have attempted to characterize the dynamics of European economies. One common strategy has been to model the EA economy using only EA aggregates. Examples include evidence based on VARs (Peersman and Smets 2003), more structural models (the ECB area‐wide model [AWM]; Fagan, Henry, and Me ...
... Many papers have attempted to characterize the dynamics of European economies. One common strategy has been to model the EA economy using only EA aggregates. Examples include evidence based on VARs (Peersman and Smets 2003), more structural models (the ECB area‐wide model [AWM]; Fagan, Henry, and Me ...
Friedman and Schwartz`s Monetary Explanation of the Great
... employment by raising real interest rates. I. Challenges to Friedman and Schwartz’s Explanation of the Great Depression It is useful to begin with a review of Friedman and Schwartz’s monetary explanation of the Depression and the literature that has developed both challenging and supporting it. A. F ...
... employment by raising real interest rates. I. Challenges to Friedman and Schwartz’s Explanation of the Great Depression It is useful to begin with a review of Friedman and Schwartz’s monetary explanation of the Depression and the literature that has developed both challenging and supporting it. A. F ...
Economic Costs of Alternative Monetary Policy Responses During
... attack. Therefore, an analysis of the relative costs of alternative policy actions needs to be clear about the key economic channels by which monetary policy action or inaction can impact the economy during a speculative currency attack. Without being aware of the channels of impact, it is difficult ...
... attack. Therefore, an analysis of the relative costs of alternative policy actions needs to be clear about the key economic channels by which monetary policy action or inaction can impact the economy during a speculative currency attack. Without being aware of the channels of impact, it is difficult ...
currency crises, capital-account liberalization, and selection bias
... inflation periods for countries that have occasionally experienced periods of hyperinflation and extreme devaluation.12 Large changes in exchange rate pressure are defined as changes in our pressure index that exceed the mean plus 2 times the country-specific standard deviation, provided that it als ...
... inflation periods for countries that have occasionally experienced periods of hyperinflation and extreme devaluation.12 Large changes in exchange rate pressure are defined as changes in our pressure index that exceed the mean plus 2 times the country-specific standard deviation, provided that it als ...
Foreign exchange reserves - how much is enough?
... it is the underlying strength of the economy, and the ability to earn foreign exchange which are vital. In the Caribbean many countries consistently post current account deficits and rely on capital inflows to offset these deficits. However, where current account deficits become very large, dependen ...
... it is the underlying strength of the economy, and the ability to earn foreign exchange which are vital. In the Caribbean many countries consistently post current account deficits and rely on capital inflows to offset these deficits. However, where current account deficits become very large, dependen ...
Inflation Targeting and Business Cycle - Berkeley-Haas
... We are now in a position to compare the cross-country output covariance as the monetary regime of the small open economy changes. The most obvious default case is where the authorities pursue no active policy via interest rates (NAP).2 Consider the alternative, where the interest rate is directed ex ...
... We are now in a position to compare the cross-country output covariance as the monetary regime of the small open economy changes. The most obvious default case is where the authorities pursue no active policy via interest rates (NAP).2 Consider the alternative, where the interest rate is directed ex ...