Longer-term trends - Public Sector Finance
... and legislation. PSNB is the difference between all public sector income and its expenditure, which results in either a deficit or surplus in each period. PSND is the stock of debt, which is the cumulative sum of these deficits or surpluses over time. Public Sector Net Borrowing (PSNB) Public Sector ...
... and legislation. PSNB is the difference between all public sector income and its expenditure, which results in either a deficit or surplus in each period. PSND is the stock of debt, which is the cumulative sum of these deficits or surpluses over time. Public Sector Net Borrowing (PSNB) Public Sector ...
Money, inflation and interest rates
... market operations are what the FED does to implement its policy of targeting of the Federal Funds Rate. The Federal Funds rate is the rate at which banks lend to each other balances they held at the Federal Reserve overnight. Banks need to satisfy their reserve requirement and, as we discussed, they ...
... market operations are what the FED does to implement its policy of targeting of the Federal Funds Rate. The Federal Funds rate is the rate at which banks lend to each other balances they held at the Federal Reserve overnight. Banks need to satisfy their reserve requirement and, as we discussed, they ...
Macroeconomics
... Lectures (2 hours a week). Attendance at lectures is optional, but it is strongly recommended. Lectures offer a verbal presentation of the material to be mastered. More importantly, they indicate the relative importance of sub-topics and offer approaches to understanding the material that a readin ...
... Lectures (2 hours a week). Attendance at lectures is optional, but it is strongly recommended. Lectures offer a verbal presentation of the material to be mastered. More importantly, they indicate the relative importance of sub-topics and offer approaches to understanding the material that a readin ...
This PDF is a selection from an out-of-print volume from... of Economic Research
... honest effort to correct the deficit. Some among them argued that Brazilian inflation was different from that elsewhere and that the budget deficit did not have a role in it; inflation was purely inertial and all that was needed to stop it was a price freeze and some formulae to recalculate wages, r ...
... honest effort to correct the deficit. Some among them argued that Brazilian inflation was different from that elsewhere and that the budget deficit did not have a role in it; inflation was purely inertial and all that was needed to stop it was a price freeze and some formulae to recalculate wages, r ...
CHAPTER OVERVIEW
... save the extra disposable income instead of using it to stimulate total spending. 3. State and local finance policies may offset federal stabilization policies. They are often procyclical, because balanced-budget requirements cause states and local governments to raise taxes in a recession or cut sp ...
... save the extra disposable income instead of using it to stimulate total spending. 3. State and local finance policies may offset federal stabilization policies. They are often procyclical, because balanced-budget requirements cause states and local governments to raise taxes in a recession or cut sp ...
1 Objectives for Chapter 12: The Great Depression (1929 to 1941
... from $79 billion in 1929 to $64.6 billion in 1933. Business investment spending fell from $16.2 billion in 1929 to only $0.3 billion in 1933.) The decline in the stock prices of 1929 also caused a decline in the money supply. We will define “money supply” in Chapter 21. For now, the money supply is ...
... from $79 billion in 1929 to $64.6 billion in 1933. Business investment spending fell from $16.2 billion in 1929 to only $0.3 billion in 1933.) The decline in the stock prices of 1929 also caused a decline in the money supply. We will define “money supply” in Chapter 21. For now, the money supply is ...
NBER WORKING PAPER SERIES U.S. MACROECONOMIC POLICY AND PERFORMANCE IN THE 198Os:
... variables, After gaining some insight into the interaction between these policies and macroeconomic performance, it then goes on to examine where ...
... variables, After gaining some insight into the interaction between these policies and macroeconomic performance, it then goes on to examine where ...
click
... What Happens When There is a Zero Interest Rate Bound? The Fed affects AD via a change in money supply, which leads to a change in the interest rate and thereby the planned investment. However, the interest rate cannot be below zero. Zero Interest Rate Bound The interest rate cannot go below zero. ...
... What Happens When There is a Zero Interest Rate Bound? The Fed affects AD via a change in money supply, which leads to a change in the interest rate and thereby the planned investment. However, the interest rate cannot be below zero. Zero Interest Rate Bound The interest rate cannot go below zero. ...
STUDY QUESTIONS FOR QUIZ 1 File
... If an increase in expected inflation equally raises the nominal interest rate, the expected real interest rate __________ and thus investment demand _____________. (a) rises, increases (b) rises, decreases (c) is unchanged, is unchanged (d) falls, increases (e) falls, decreases For inflation to have ...
... If an increase in expected inflation equally raises the nominal interest rate, the expected real interest rate __________ and thus investment demand _____________. (a) rises, increases (b) rises, decreases (c) is unchanged, is unchanged (d) falls, increases (e) falls, decreases For inflation to have ...
Talk: Exchange Rates
... The exchange rate can move for many other reasons than changes in the domestic interest rate. Expectations play a large role in the determination of the exchange rate. Flexible exchange rate may be subject to large fluctuations which, in turn, require large movements in the interest rate which can m ...
... The exchange rate can move for many other reasons than changes in the domestic interest rate. Expectations play a large role in the determination of the exchange rate. Flexible exchange rate may be subject to large fluctuations which, in turn, require large movements in the interest rate which can m ...
Document
... transaction involving a foreign currency payment or receipt. Suppose an importer agrees to purchase manufactured goods made in Singapore priced in the Singapore dollar (S$). The importer does not wish to pay until the goods are received in the U.S. in about 90 days. The importer may agree to obtain ...
... transaction involving a foreign currency payment or receipt. Suppose an importer agrees to purchase manufactured goods made in Singapore priced in the Singapore dollar (S$). The importer does not wish to pay until the goods are received in the U.S. in about 90 days. The importer may agree to obtain ...
Statistical Release - Central Bank of Ireland
... debt, particularly from 2014 onwards. Private sector indebtedness forms part of the EU Commission’s scoreboard of macroeconomic imbalances. The Commission sets an indicative threshold of 160 per cent of GDP for private sector debt sustainability, substantially lower than Ireland’s 287 per cent. Howe ...
... debt, particularly from 2014 onwards. Private sector indebtedness forms part of the EU Commission’s scoreboard of macroeconomic imbalances. The Commission sets an indicative threshold of 160 per cent of GDP for private sector debt sustainability, substantially lower than Ireland’s 287 per cent. Howe ...
Chapter 37 :: Government Revenue and
... Distinguish between balanced, surplus and deficit budgets Outline the impact of budget decisions on Irish society. ...
... Distinguish between balanced, surplus and deficit budgets Outline the impact of budget decisions on Irish society. ...
DUCTION The classical theory of the price level is sometimes
... How would this budget constraintbe alteredin a world in which money must be usedin exchange?The classicaltheoristsarguedthat sincethe typical householddoesnot buy commodities at the sametime that it sells its labor, during an averageweek the household has a reserveof cash on hand to facilitate the u ...
... How would this budget constraintbe alteredin a world in which money must be usedin exchange?The classicaltheoristsarguedthat sincethe typical householddoesnot buy commodities at the sametime that it sells its labor, during an averageweek the household has a reserveof cash on hand to facilitate the u ...
Martin NBER WORKING PAPER SERIES OF MONETARY FLICY
... sensitivities of the market demand for bonds and money. In the likely case in which the demand for money is relatively inelastic, the government surplus must be accompanied by a lower rate of interest and the substitution of real capital for government bonds..2 ...
... sensitivities of the market demand for bonds and money. In the likely case in which the demand for money is relatively inelastic, the government surplus must be accompanied by a lower rate of interest and the substitution of real capital for government bonds..2 ...
UNIT 3 What you will learn: Traditional Flow Model
... Combine PPP, the Quantity Theory and the Fisher Equation to make predictions about the exchange rate. ...
... Combine PPP, the Quantity Theory and the Fisher Equation to make predictions about the exchange rate. ...
Macroeconomy of the Eurozone, 2003
... • Fiscal deficits should average at most 1% of GDP over the business cycle • Deficits in excess of 3% of GDP will attract penalties unless they were due to “exceptional” and/or “temporary” Could imply pro-cyclical transfers from countries to the centre. – Fiscal federalism in reverse ...
... • Fiscal deficits should average at most 1% of GDP over the business cycle • Deficits in excess of 3% of GDP will attract penalties unless they were due to “exceptional” and/or “temporary” Could imply pro-cyclical transfers from countries to the centre. – Fiscal federalism in reverse ...
Miller
... When the money supply increases, people have too much money. – How can this be? – Have you ever had too much money? – If you have a savings account, then at some point you had too much money. – Money is not the same thing as income. Slide 17-30 ...
... When the money supply increases, people have too much money. – How can this be? – Have you ever had too much money? – If you have a savings account, then at some point you had too much money. – Money is not the same thing as income. Slide 17-30 ...
Budget techniques reforms of local authorities
... Fiscal rules: The size of the deficit (max. 3% of GDP ), public debt (max. 60%) Tax policy: The taxes – variety of rates Public spending – different strategies e.g. PBB Monetary policy controls the value of currency. It is concerned with the amount of money in circulation (inflation). Intere ...
... Fiscal rules: The size of the deficit (max. 3% of GDP ), public debt (max. 60%) Tax policy: The taxes – variety of rates Public spending – different strategies e.g. PBB Monetary policy controls the value of currency. It is concerned with the amount of money in circulation (inflation). Intere ...
What the Political System Can Do to Help the Fed
... the first among many to document how rapid changes in the American financial system, driven by a combination of technological innovation and government deregulation, have caused those once-stable relations to break down. It should be noted that some monetary economists, influenced by William Barnett ...
... the first among many to document how rapid changes in the American financial system, driven by a combination of technological innovation and government deregulation, have caused those once-stable relations to break down. It should be noted that some monetary economists, influenced by William Barnett ...
Sterilization of Capital Inflows and Balance of Payments
... the peg. Assume for simplicity that this bound is zero (i.e., k t ≥ 0 ∀t ). Throughout this paper we assume that the government follows an exogenous fiscal policy, setting a path for gt in advance. If an overall deficit results, it has to be financed either by new debt, or by monetary expansion, or ...
... the peg. Assume for simplicity that this bound is zero (i.e., k t ≥ 0 ∀t ). Throughout this paper we assume that the government follows an exogenous fiscal policy, setting a path for gt in advance. If an overall deficit results, it has to be financed either by new debt, or by monetary expansion, or ...
Chapter 15 Monetary Policy
... 61. When the Fed lends to commercial banks [ ], this is called the (Fed Funds Rate/discount rate) and when commercial banks make loans to one another, this is the (Fed Funds Rate/ Discount Rate). 62. The Keynesian cause-effect chain of an easy money policy would be to (buy/sell) bonds; which would ( ...
... 61. When the Fed lends to commercial banks [ ], this is called the (Fed Funds Rate/discount rate) and when commercial banks make loans to one another, this is the (Fed Funds Rate/ Discount Rate). 62. The Keynesian cause-effect chain of an easy money policy would be to (buy/sell) bonds; which would ( ...
2015 Quarter 1
... In contrast to the rest of the North African region, Morocco’s political environment is relatively stable. As a result, the tourism sector and FDI have been resilient to the wave of political unrest across the region. A more pertinent issue for Morocco has been the slow economic growth in the euro z ...
... In contrast to the rest of the North African region, Morocco’s political environment is relatively stable. As a result, the tourism sector and FDI have been resilient to the wave of political unrest across the region. A more pertinent issue for Morocco has been the slow economic growth in the euro z ...
Chapter 1: Introduction
... currency or deposits at its regional branches as payment. The currency is then removed from circulation and stored in a basement somewhere; the deposits it receives as payment are then erased from its books. Thus the monetary base declines. When the Federal Reserve wants to increase the monetary bas ...
... currency or deposits at its regional branches as payment. The currency is then removed from circulation and stored in a basement somewhere; the deposits it receives as payment are then erased from its books. Thus the monetary base declines. When the Federal Reserve wants to increase the monetary bas ...
Federal Open Market Committee (FOMC)
... rates. Open market operations are the primary tool of the Federal Reserve. They are often used and are quite powerful. This is what the Federal Reserve actually does when it announces a new target federal funds rate. The federal funds rate is the interest rate banks charge one another in return for ...
... rates. Open market operations are the primary tool of the Federal Reserve. They are often used and are quite powerful. This is what the Federal Reserve actually does when it announces a new target federal funds rate. The federal funds rate is the interest rate banks charge one another in return for ...