Can the Renminbi Rise as a Global Currency? The Political
... The sum of the percentage shares of individual currencies in global foreign exchange market turnover totals 200 rather than 100 per cent, since two currencies are involved in each transaction. ...
... The sum of the percentage shares of individual currencies in global foreign exchange market turnover totals 200 rather than 100 per cent, since two currencies are involved in each transaction. ...
A Fast-Track East African Community Monetary Union?
... term. Monetary policy convergence, exhibited mainly in similarity of inflation and interest rates among other indicators, is necessary to ensure a single monetary policy is optimal policy for all the union members. In an influential study Rose (2000) followed by others (a good summary is provided by ...
... term. Monetary policy convergence, exhibited mainly in similarity of inflation and interest rates among other indicators, is necessary to ensure a single monetary policy is optimal policy for all the union members. In an influential study Rose (2000) followed by others (a good summary is provided by ...
Economic Bulletin. October 2011. The process of economic
... ing upturn are at the root of the current crisis and explain why, since 2008, a large number of developed countries have experienced the deepest recession of recent decades and why the recovery is taking place at such a slow pace. Chart 1 shows the strong contraction in GDP growth and the notable ri ...
... ing upturn are at the root of the current crisis and explain why, since 2008, a large number of developed countries have experienced the deepest recession of recent decades and why the recovery is taking place at such a slow pace. Chart 1 shows the strong contraction in GDP growth and the notable ri ...
the dollar and the policy-performance-confidence mix
... Exchange rates are determined in speculative-asset markets, where psychological factors such as "confidence" and "herd mentality" play an important role. The broad conceptual framework developed here weaves this fact into what standard theory says about the exchange-rate effects of fiscal policy and ...
... Exchange rates are determined in speculative-asset markets, where psychological factors such as "confidence" and "herd mentality" play an important role. The broad conceptual framework developed here weaves this fact into what standard theory says about the exchange-rate effects of fiscal policy and ...
Trade, Money, and Wealth in the Canadian Economy
... from the nonindustrial countries were increasingly restricted by a variety of nontariff barriers to trade. This development had some profound implications from the structure of wages in the industrial countries, although this fact did not become evident until the mid-1980s. By and large, the goods p ...
... from the nonindustrial countries were increasingly restricted by a variety of nontariff barriers to trade. This development had some profound implications from the structure of wages in the industrial countries, although this fact did not become evident until the mid-1980s. By and large, the goods p ...
Macroeconomic Policy Regimes in the Philippines By Cayetano
... 2007 global financial crisis The financial conservatism engendered by the experience of the Asian Financial Crisis insulated the financial system from major exposure to the structured financial instruments when the Global Financial Crisis came. The main impact of the global crisis came through the P ...
... 2007 global financial crisis The financial conservatism engendered by the experience of the Asian Financial Crisis insulated the financial system from major exposure to the structured financial instruments when the Global Financial Crisis came. The main impact of the global crisis came through the P ...
THE FEDERAL RESERVE CHAIRMAN AS HERO: OUR DEFENSE AGAINST MONETARY EXCESSES? Introduction
... on central bankers who succumb to those pressures.7 Another practicable piecemeal reform would be to legislate marginal increases in private-sector representation on the FOMC, not to benefit special interests but to check inflationary political pressures. Yet another practicable reform would be to l ...
... on central bankers who succumb to those pressures.7 Another practicable piecemeal reform would be to legislate marginal increases in private-sector representation on the FOMC, not to benefit special interests but to check inflationary political pressures. Yet another practicable reform would be to l ...
Israel - Bank for International Settlements
... by creating a disciplining effect on the Central Bank but also put the economy in a dollarization trap when information is imperfect. In fact, a benevolent Central Bank that lacks credibility may face high levels of dollarization, making a stabilization monetary policy hard to implement and credibil ...
... by creating a disciplining effect on the Central Bank but also put the economy in a dollarization trap when information is imperfect. In fact, a benevolent Central Bank that lacks credibility may face high levels of dollarization, making a stabilization monetary policy hard to implement and credibil ...
Dynamic General Equilibrium Analysis: The Open Economy
... The Þndings in the upper panel of Table 1 show that the Þrst regime is easily dominant in the case of full pass through. By allowing the nominal and real exchange rate to vary in response to shocks, targeting nontradables inßation achieves much lower volatility in output and investment, even if CPI ...
... The Þndings in the upper panel of Table 1 show that the Þrst regime is easily dominant in the case of full pass through. By allowing the nominal and real exchange rate to vary in response to shocks, targeting nontradables inßation achieves much lower volatility in output and investment, even if CPI ...
Is Mercosur an optimum currency area? An assessment using
... exists. The α s in the tables are the adjustment speed parameters from the short run to the long run. The significant absolute values were lesser than 0.21, which means large deviation persistence. It is necessary from 1.2 to 4 years for the short run deviations to damp out. This finding is consiste ...
... exists. The α s in the tables are the adjustment speed parameters from the short run to the long run. The significant absolute values were lesser than 0.21, which means large deviation persistence. It is necessary from 1.2 to 4 years for the short run deviations to damp out. This finding is consiste ...
Japanese Foreign Exchange Intervention
... exchange rate levels deviate from true underlying “fundamentals.”This implies that when the MOF intervenes against the yen, fundamental forces may be at play that would tend to move the value of the yen on their own.Thus, it is difficult to distinguish whether yen movements reflect interventions or ...
... exchange rate levels deviate from true underlying “fundamentals.”This implies that when the MOF intervenes against the yen, fundamental forces may be at play that would tend to move the value of the yen on their own.Thus, it is difficult to distinguish whether yen movements reflect interventions or ...
The Measurement of Co-Circulation of Currencies and Dollarization
... Currency substitution in developing and Eastern European countries is usually one of the consequences of high and variable inflation. High inflation, in turn, leads to dollarization and eventually to currency substitution. However, high inflation is not the only cause of dollarization. The issue of ...
... Currency substitution in developing and Eastern European countries is usually one of the consequences of high and variable inflation. High inflation, in turn, leads to dollarization and eventually to currency substitution. However, high inflation is not the only cause of dollarization. The issue of ...
anchoring to the euro (and grouped together)? the case of african
... occurred a structural shift in the franc zone, which led to decreasing monetary autonomy. Shortland and Stasavage (2004) also come to the conclusion that monetary autonomy in the franc zone is limited and that short term central bank rates of the anchor (first the Banque de France and now the Europe ...
... occurred a structural shift in the franc zone, which led to decreasing monetary autonomy. Shortland and Stasavage (2004) also come to the conclusion that monetary autonomy in the franc zone is limited and that short term central bank rates of the anchor (first the Banque de France and now the Europe ...
Why a Breakup of the Euro Area Must Be Avoided: Lessons from
... down to two points: that its governance cannot be fixed or that Southern Europe cannot undertake labor market reforms or carry out wage cuts. For Greece, the only real advantage from an exit would be the possibility to devalue its new currency to become competitive. Yet, without a Latvian-style inte ...
... down to two points: that its governance cannot be fixed or that Southern Europe cannot undertake labor market reforms or carry out wage cuts. For Greece, the only real advantage from an exit would be the possibility to devalue its new currency to become competitive. Yet, without a Latvian-style inte ...
The US Dollar and the Euro as International
... ever since then, a number of observers have argued that it would challenge the US dollar’s hegemony.6 In contrast, however, Barry Eichengreen noted as far back as 1997: “(I)ncumbency is a strong advantage in the competition for reserve-currency status. Both historical and econometric evidence point ...
... ever since then, a number of observers have argued that it would challenge the US dollar’s hegemony.6 In contrast, however, Barry Eichengreen noted as far back as 1997: “(I)ncumbency is a strong advantage in the competition for reserve-currency status. Both historical and econometric evidence point ...
Monetary Policy Strategy of the National Bank of Moldova for
... • the statistical deviations that occur in measuring inflation, requires the existence of sufficient margin for small changes in relative prices, that appear consistently in each economy; • the need to maintain some flexibility of the monetary policy in responding to short-term shocks; • the general ...
... • the statistical deviations that occur in measuring inflation, requires the existence of sufficient margin for small changes in relative prices, that appear consistently in each economy; • the need to maintain some flexibility of the monetary policy in responding to short-term shocks; • the general ...
Exogenous Macroeconomic Shocks and their Propagation in Bosnia
... cannot play the role of lender of last resort to assist banks in problems with overcoming liquidity.3 Potentially, the interest rate that is paid to the banks on the excess reserves could be considered an instrument of monetary policy. The effectiveness of this instrument is, however, questionable. ...
... cannot play the role of lender of last resort to assist banks in problems with overcoming liquidity.3 Potentially, the interest rate that is paid to the banks on the excess reserves could be considered an instrument of monetary policy. The effectiveness of this instrument is, however, questionable. ...
Earlier versions of
... and m are chosen under the assumption that m •and mT minimise respectively ...
... and m are chosen under the assumption that m •and mT minimise respectively ...
- BANKER`S LEARNING HOUSE
... of time. In practice, this is not possible because of time differences in the two centers. Hence, the use of value dates,i.e. currencies must be paid and received on the same day. The value date of foreign exchange transaction will have to be a working day in both the centers where the money transfe ...
... of time. In practice, this is not possible because of time differences in the two centers. Hence, the use of value dates,i.e. currencies must be paid and received on the same day. The value date of foreign exchange transaction will have to be a working day in both the centers where the money transfe ...
Purchasing Power Parity: Implication with respect to
... Few lessons are drawn from these episodes of U.S. easy money cum weak dollar for the stability of America’s own economy. First, sharply increasing the general prices in auction-market goods like prices of primary commodities or foreign exchange are useful early warning to the Fed that it is being to ...
... Few lessons are drawn from these episodes of U.S. easy money cum weak dollar for the stability of America’s own economy. First, sharply increasing the general prices in auction-market goods like prices of primary commodities or foreign exchange are useful early warning to the Fed that it is being to ...
O D : C E
... if any, to a subsidiary role. In officially dollarized countries, there is no domestic currency, no currency risk and, therefore, no risk of currency crises. As a result, domestic interest rate structure tends to be similar to the one prevailing in the wider monetary area. In a few countries, which ...
... if any, to a subsidiary role. In officially dollarized countries, there is no domestic currency, no currency risk and, therefore, no risk of currency crises. As a result, domestic interest rate structure tends to be similar to the one prevailing in the wider monetary area. In a few countries, which ...
Currency collapses and output dynamics
... idiosyncratic time-constant but cross-sectional varying component, t is the time-varying but crosssectional constant factor, and i,t is the error term. To avoid selection bias we use the full country sample. This allows us to compare the performance of countries affected by a currency collapse w ...
... idiosyncratic time-constant but cross-sectional varying component, t is the time-varying but crosssectional constant factor, and i,t is the error term. To avoid selection bias we use the full country sample. This allows us to compare the performance of countries affected by a currency collapse w ...
NBER WORKING PAPER SERIES GOLD, FIAT MONEY, AND PRICE STABILITY
... The median unbiased estimates of the largest root range from 0.53 in the United Kingdom to 1.09 in Australia, Canada, and Sweden. The average ρMU for the period was 1.00. Not surprisingly, we find that ρ95 is greater than unity for all the countries. Here the persistence is higher than for the gold ...
... The median unbiased estimates of the largest root range from 0.53 in the United Kingdom to 1.09 in Australia, Canada, and Sweden. The average ρMU for the period was 1.00. Not surprisingly, we find that ρ95 is greater than unity for all the countries. Here the persistence is higher than for the gold ...
PDF Download
... ERM II replaced the ERM of the European Monetary System created in 1979. ERM II was established in 1997 with a resolution of the European Council in order to link the currencies of EU member states outside the euro area and the euro. Like ERM I, ERM II is also a multilateral exchange rate arrangemen ...
... ERM II replaced the ERM of the European Monetary System created in 1979. ERM II was established in 1997 with a resolution of the European Council in order to link the currencies of EU member states outside the euro area and the euro. Like ERM I, ERM II is also a multilateral exchange rate arrangemen ...
Monetary policy in Vietnam: the case of a transition country
... state-owned commercial banks (SOCBs), the liberalisation of interest rates and the development of financial markets. 6 Reforms, which started in the first half of the 1990s, have since then been implemented gradually. As a result of the reforms, the Vietnamese financial system has deepened as indica ...
... state-owned commercial banks (SOCBs), the liberalisation of interest rates and the development of financial markets. 6 Reforms, which started in the first half of the 1990s, have since then been implemented gradually. As a result of the reforms, the Vietnamese financial system has deepened as indica ...