devaluation and its impact on ethiopian economy
... There are different reasons for the need of the existence of trade between different nations to mention some of them, the existence of comparative advantage over some products for each of the nations, differences in specialization, the existence of division of labor, different allocation of natural ...
... There are different reasons for the need of the existence of trade between different nations to mention some of them, the existence of comparative advantage over some products for each of the nations, differences in specialization, the existence of division of labor, different allocation of natural ...
Monetary and Fiscal Policies
... Kannan offers one possible reason why recoveries from banking crises might be more protracted (2010). Using a sample of 21 industrialized economies from 1970 to 2004, the author documents that it takes 5 ½ quarters for output to recover following a banking crises, while it takes only 3 quarters foll ...
... Kannan offers one possible reason why recoveries from banking crises might be more protracted (2010). Using a sample of 21 industrialized economies from 1970 to 2004, the author documents that it takes 5 ½ quarters for output to recover following a banking crises, while it takes only 3 quarters foll ...
mmi09 Beine2 9070836 en
... Will the use of effective exchange rates do the job? Effective exchange rates are very often used as indexes of the strength of a particular currency. Unfortunately, in the case of the Canadian dollar, the effective exchange rate will be almost similar to the bilateral CAN/USD as a very large part o ...
... Will the use of effective exchange rates do the job? Effective exchange rates are very often used as indexes of the strength of a particular currency. Unfortunately, in the case of the Canadian dollar, the effective exchange rate will be almost similar to the bilateral CAN/USD as a very large part o ...
This PDF is a selection from an out-of-print volume from... of Economic Research Volume Title: International Aspects of Fiscal Policies
... Within each of these exchange rate systems, we analyze the behavior and characteristics of fiscal policy and examine the way changes in the rules of the game affect the incentives to use fiscal and monetary policies. In particular, we seek to determine whether the various inefficiencies of floating ...
... Within each of these exchange rate systems, we analyze the behavior and characteristics of fiscal policy and examine the way changes in the rules of the game affect the incentives to use fiscal and monetary policies. In particular, we seek to determine whether the various inefficiencies of floating ...
LEADING INDICATORS OF CURRENCY AND BANKING CRISES
... been amended and reformulated repeatedly over time, models using this approach usually emphasize the following potential indicators of currency crisis: movements in the real exchange rate, merchandise trade balance or current account, real wages and interest rates. Recent models abandon explanations ...
... been amended and reformulated repeatedly over time, models using this approach usually emphasize the following potential indicators of currency crisis: movements in the real exchange rate, merchandise trade balance or current account, real wages and interest rates. Recent models abandon explanations ...
This PDF is a selection from an out-of-print volume from... of Economic Research
... however, have important implications for a country’s macroeconomic performance and growth. Moreover, most of these questions are intimately related to political economy and institutional considerations. This paper deals with the first question from a political economy perspective. I ask why some cou ...
... however, have important implications for a country’s macroeconomic performance and growth. Moreover, most of these questions are intimately related to political economy and institutional considerations. This paper deals with the first question from a political economy perspective. I ask why some cou ...
The Credit Channel in Middle Income Countries
... the paths of the key variables are independent of the nominal exchange rate regime, which is important because of a wide variation across MICs in this regard. Second, an empirical characterization of economic fluctuations follows directly from the equilibrium: (a) it determines which variables to in ...
... the paths of the key variables are independent of the nominal exchange rate regime, which is important because of a wide variation across MICs in this regard. Second, an empirical characterization of economic fluctuations follows directly from the equilibrium: (a) it determines which variables to in ...
PPT chapter 14
... This means the peso is overvalued. There are three ways Latinia can deal with this: 1. Latinia can devalue its currency and allow it to trade at 10 pesos to the dollar. However, doing this frequently would be like having a flexible exchange rate. 2. Latinia could impose restrictions on international ...
... This means the peso is overvalued. There are three ways Latinia can deal with this: 1. Latinia can devalue its currency and allow it to trade at 10 pesos to the dollar. However, doing this frequently would be like having a flexible exchange rate. 2. Latinia could impose restrictions on international ...
Responding to the Monetary Superpower
... to alter their own monetary policies, which could have magnified the Fed’s actions in creating global liquidity. This paper addresses the issue by showing how spillovers in central bank behavior occur in theoretical rational expectations models. It then establishes empirically how U.S. monetary poli ...
... to alter their own monetary policies, which could have magnified the Fed’s actions in creating global liquidity. This paper addresses the issue by showing how spillovers in central bank behavior occur in theoretical rational expectations models. It then establishes empirically how U.S. monetary poli ...
Chapter 16: Foreign Exchange Derivative Markets
... From 1944 to 1971, the exchange rate at which one currency could be exchanged for another was maintained by governments within 1 percent of a specified rate. This period was known as the Bretton Woods era, because the agreement establishing the system was negotiated at the Bretton Woods Conference i ...
... From 1944 to 1971, the exchange rate at which one currency could be exchanged for another was maintained by governments within 1 percent of a specified rate. This period was known as the Bretton Woods era, because the agreement establishing the system was negotiated at the Bretton Woods Conference i ...
Capital Inflows, Exchange Rate Flexibility, and Credit Booms
... evidence on the link between crises and alternative exchange rate regimes is not clear-cut, but the literature suggests that the exchange regime may have an impact on developments in financial markets and asset prices, through several channels.9 The basic textbook prediction tells us that in an econ ...
... evidence on the link between crises and alternative exchange rate regimes is not clear-cut, but the literature suggests that the exchange regime may have an impact on developments in financial markets and asset prices, through several channels.9 The basic textbook prediction tells us that in an econ ...
NBER WORKING PAPER SERIES MONETARY AND FISCAL POLICY UNDER PERFECT FORESIGHT:
... thereafter falling monotonically towards its natural rate level. The monetary expansion causes an immediate fall in the domestic interest rate, which thereafter rises monotonically towards its equilibrium. All of these effects are familiar from the Dornbusch model or its immediate ...
... thereafter falling monotonically towards its natural rate level. The monetary expansion causes an immediate fall in the domestic interest rate, which thereafter rises monotonically towards its equilibrium. All of these effects are familiar from the Dornbusch model or its immediate ...
euro area and member states
... euro as their currency. Today, around 330 million citizens in 16 countries live in the euro area and this number will increase as future enlargements of the euro area continue to spread the benefits of the single currency more widely in the European Union. All European Union Member States are part o ...
... euro as their currency. Today, around 330 million citizens in 16 countries live in the euro area and this number will increase as future enlargements of the euro area continue to spread the benefits of the single currency more widely in the European Union. All European Union Member States are part o ...
The research reported here is part of the NBER's research
... problem. The experience of the last ten year would certainly lead an observer to endorse that view. Anytime there is monetary and fiscal dislocation in a major country, as has certainly been the case in the U.S., flexible rates perform poorly because they lead to excessive real exchange ...
... problem. The experience of the last ten year would certainly lead an observer to endorse that view. Anytime there is monetary and fiscal dislocation in a major country, as has certainly been the case in the U.S., flexible rates perform poorly because they lead to excessive real exchange ...
Unconventional Monetary Policies-
... series of unconventional monetary policies with two broad goals. The first was to restore the functioning of financial markets and intermediation. The second was to provide further monetary policy accommodation at the zero lower bound. These two goals are clearly related, as both ultimately aim to e ...
... series of unconventional monetary policies with two broad goals. The first was to restore the functioning of financial markets and intermediation. The second was to provide further monetary policy accommodation at the zero lower bound. These two goals are clearly related, as both ultimately aim to e ...
FREE Sample Here
... account balance, other things equal (assume that substitutes are readily available in the countries, and that the prices charged by firms remain the same). a. increase © 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as perm ...
... account balance, other things equal (assume that substitutes are readily available in the countries, and that the prices charged by firms remain the same). a. increase © 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as perm ...
Competition in Currency The Potential for Private Money Executive Summary
... for coins of gold and silver. A few countries today maintain similar semiprivate systems in which private banks issue their own banknotes redeemable for government currency. Allowing such a system in the United States would benefit all consumers by improving price stability and allowing banks to com ...
... for coins of gold and silver. A few countries today maintain similar semiprivate systems in which private banks issue their own banknotes redeemable for government currency. Allowing such a system in the United States would benefit all consumers by improving price stability and allowing banks to com ...
23 January 2002 - European Parliament
... Monetary Affairs within the annual research programme This study is published in the following languages: DE, EN (original), FR. Authors: ...
... Monetary Affairs within the annual research programme This study is published in the following languages: DE, EN (original), FR. Authors: ...
exchange rate regimes for developing and emerging markets
... and flexible exchange rates. It is appropriate for countries that have significant inflation compared with their trading partners, as had often been the case in Latin America. The monetary authorities fix the exchange rate on any day but periodically adjusts it in small amounts at a fixed rate or ...
... and flexible exchange rates. It is appropriate for countries that have significant inflation compared with their trading partners, as had often been the case in Latin America. The monetary authorities fix the exchange rate on any day but periodically adjusts it in small amounts at a fixed rate or ...
common market for eastern - COMESA Monetary Institute
... on hand, banks have a smaller quantity of funds available to lend. As banks cut back their lending, borrowers who depend on bank for credit are unable to obtain credit they need to make planned purchases. The resulting decline in spending depresses aggregate demand and thus economic activity. On t ...
... on hand, banks have a smaller quantity of funds available to lend. As banks cut back their lending, borrowers who depend on bank for credit are unable to obtain credit they need to make planned purchases. The resulting decline in spending depresses aggregate demand and thus economic activity. On t ...
A Brief Survey of Dutch Monetary Policy in the Post-war Period1
... retrospective view of Dutch monetary policy over the last five decades. Dutch monetary policy in the post-war period has been remarkable not only in its conceptual framework but also in its strategy. For several decades, monetary authorities adopted a dual strategy of combined monetary and exchange ...
... retrospective view of Dutch monetary policy over the last five decades. Dutch monetary policy in the post-war period has been remarkable not only in its conceptual framework but also in its strategy. For several decades, monetary authorities adopted a dual strategy of combined monetary and exchange ...
TCX`s role in the Kyrgyz Republic during the 2014 Russian ruble
... devaluations. Devaluations that now will force him to cut costs, postpone investments or even put him out of business. By taking away this risk the entrepreneur can focus on his core business, he becomes a better risk for his bank and sleeps better. Jyrgal, the hero of the case study in front of you ...
... devaluations. Devaluations that now will force him to cut costs, postpone investments or even put him out of business. By taking away this risk the entrepreneur can focus on his core business, he becomes a better risk for his bank and sleeps better. Jyrgal, the hero of the case study in front of you ...
THE ARGENTINEAN DEBT: HISTORY, DEFAULT AND RESTRUCTURING Mario Damill
... 1998-2001 period. The deficit of the pension system also contributed to that increase. The fall in the public pension system receipts mainly resulted from the recession and the employment contraction that started in mid-1998; thus, it was also an indirect effect of the new financial conditions. The ...
... 1998-2001 period. The deficit of the pension system also contributed to that increase. The fall in the public pension system receipts mainly resulted from the recession and the employment contraction that started in mid-1998; thus, it was also an indirect effect of the new financial conditions. The ...
Chapter 2--International Flow of Funds - College Test bank
... manufacture CDs and DVDs that look almost exactly like the original product produced in the U.S. and other countries, they ____ the U.S. balance of trade surplus with Thor. This activity is called ____. a. reduce; flipping b. reduce; pirating c. increase; pirating d. increase; flipping ANS: B ...
... manufacture CDs and DVDs that look almost exactly like the original product produced in the U.S. and other countries, they ____ the U.S. balance of trade surplus with Thor. This activity is called ____. a. reduce; flipping b. reduce; pirating c. increase; pirating d. increase; flipping ANS: B ...
an evaluation of the contractionary devaluation
... Recently, many empirical studies resort to micro-level data to assess the impact of real exchange rate depreciations in the presence of currency mismatches. These studies have analyzed the impact of real exchange rate fluctuations on the dynamics of investment and employment. Bleakley and Cowan (200 ...
... Recently, many empirical studies resort to micro-level data to assess the impact of real exchange rate depreciations in the presence of currency mismatches. These studies have analyzed the impact of real exchange rate fluctuations on the dynamics of investment and employment. Bleakley and Cowan (200 ...