NBER WORKING PAPER SERIES THE BARNETT CRITIQUE AFTER THREE DECADES:
... resolve the merits of simple-sum versus superlative indexes of money on the basis of goodnessof-fit criteria or have judged money not to be an important variable when a simple-sum measure alone was used in empirical work, the current paper shows that, with a model fully-specified at the level of ta ...
... resolve the merits of simple-sum versus superlative indexes of money on the basis of goodnessof-fit criteria or have judged money not to be an important variable when a simple-sum measure alone was used in empirical work, the current paper shows that, with a model fully-specified at the level of ta ...
Business Economics – II (MB1B4): January 2009
... to decrease, causing interest rate increase (d) Money demand to decrease, causing interest rate increase, causing planned investment to decrease, causing aggregate output to decrease (e) Aggregate output to decrease, causing interest rate increase, causing planned investment to decrease, causing mon ...
... to decrease, causing interest rate increase (d) Money demand to decrease, causing interest rate increase, causing planned investment to decrease, causing aggregate output to decrease (e) Aggregate output to decrease, causing interest rate increase, causing planned investment to decrease, causing mon ...
Studies on the Macroeconomics of Monetary Union - Jultika
... 1929, and a system of flexible exchange rates was proposed as an alternative. For example Friedman (1953) argued that a country could be better off by reserving domestic monetary policy for price or employment stability and allowing its currency to float. The foundations of the theory of Optimum Cur ...
... 1929, and a system of flexible exchange rates was proposed as an alternative. For example Friedman (1953) argued that a country could be better off by reserving domestic monetary policy for price or employment stability and allowing its currency to float. The foundations of the theory of Optimum Cur ...
Non-Keynesian Fiscal Policy effects
... Policy were developed by David Ricardo and John Maynard Keynes. On the one hand, David Ricardo's Theory, known as Ricardian Equivalence, debates Fiscal Policy will never affect the economy along with private consumption since Government expenditures are considered to be constant over time. So, any i ...
... Policy were developed by David Ricardo and John Maynard Keynes. On the one hand, David Ricardo's Theory, known as Ricardian Equivalence, debates Fiscal Policy will never affect the economy along with private consumption since Government expenditures are considered to be constant over time. So, any i ...
Document
... interest rate leads to a decrease in output. This is represented by the IS curve. Equilibrium in financial markets implies that an increase in output leads to an increase in the interest rate. This is represented by the LM curve. Only at point A, which is on both curves, are both goods and financial ...
... interest rate leads to a decrease in output. This is represented by the IS curve. Equilibrium in financial markets implies that an increase in output leads to an increase in the interest rate. This is represented by the LM curve. Only at point A, which is on both curves, are both goods and financial ...
Name ______ last 4 PSU ID
... diagram for Denmark on the left and the expected return in krone / exchange rate diagram on the right hand side. Label the initial equilibrium point A. Denmark suffers from an adverse productivity shock and goes in a recession. Show how your two diagrams are affected by the recession in Denmark. Ass ...
... diagram for Denmark on the left and the expected return in krone / exchange rate diagram on the right hand side. Label the initial equilibrium point A. Denmark suffers from an adverse productivity shock and goes in a recession. Show how your two diagrams are affected by the recession in Denmark. Ass ...
Sample
... each good; one for each good for which it can be traded. Third, there is a lack of standardization in terms of the goods to be exchanged. Fourth, it will be difficult to accumulate wealth. Diff: 2 Page Ref: 26-27 Topic: barter Objective: Analyze the inefficiencies of a barter system AACSB: Analytic ...
... each good; one for each good for which it can be traded. Third, there is a lack of standardization in terms of the goods to be exchanged. Fourth, it will be difficult to accumulate wealth. Diff: 2 Page Ref: 26-27 Topic: barter Objective: Analyze the inefficiencies of a barter system AACSB: Analytic ...
real-world economics review
... graphical models and the logic of counterfactuals led to the development of such a language (Pearl, 2000). Significant advances in causal analysis followed. For example, algorithms for the discovery of causal structure from purely observational data were developed (Verma and Pearl, 1990; Spirtes et ...
... graphical models and the logic of counterfactuals led to the development of such a language (Pearl, 2000). Significant advances in causal analysis followed. For example, algorithms for the discovery of causal structure from purely observational data were developed (Verma and Pearl, 1990; Spirtes et ...
Fiscal Policy Measures and Balance of Payments in Nigeria
... activities in the country increases, investment also increases which put upward pressure on interest rate; because of high interest rate, inflow of foreign capital which deteriorate the trade balance. With increase in economic activities, demand for imports also increases and leads to merchandise tr ...
... activities in the country increases, investment also increases which put upward pressure on interest rate; because of high interest rate, inflow of foreign capital which deteriorate the trade balance. With increase in economic activities, demand for imports also increases and leads to merchandise tr ...
Final Thoughts - The University of Chicago Booth School of Business
... In the money market, MME curve will shift in as prices are higher (real money balances fall). This will cause interest rates to rise. How will exchange rates respond? The increase in Y and the increase in P in the US should cause the dollar to depreciate relative to other currencies. The increase in ...
... In the money market, MME curve will shift in as prices are higher (real money balances fall). This will cause interest rates to rise. How will exchange rates respond? The increase in Y and the increase in P in the US should cause the dollar to depreciate relative to other currencies. The increase in ...
Sectoral Analysis
... Money is one of many assets which range from financial assets, such as bonds, stock, equities to real assets such as land and gold. Money and other assets are substitutes. The major difference between money and other assets is that money does not bring in any positive pecuniary (monetary) returns - ...
... Money is one of many assets which range from financial assets, such as bonds, stock, equities to real assets such as land and gold. Money and other assets are substitutes. The major difference between money and other assets is that money does not bring in any positive pecuniary (monetary) returns - ...
DETERMINANTS OF HIGH INFLATION IN AN LDC:
... the economy should be insignificant while the s which measure of the response of inflation to the monetary stimuli should be positive and significant. For the Keynesian interpretation to be valid, the reverse should hold true. The presence of y may also reflect supply side effects whereby the incr ...
... the economy should be insignificant while the s which measure of the response of inflation to the monetary stimuli should be positive and significant. For the Keynesian interpretation to be valid, the reverse should hold true. The presence of y may also reflect supply side effects whereby the incr ...
5.ThieuHutNSNN
... • Keynesian theory highlights the potential of fiscal policy as a tool capable of reducing fluctuations in aggregate demand. • Following the Great Depression, Keynesians challenged the view that governments should always balance their budget. – Rather than balancing their budget annually, Keynesians ...
... • Keynesian theory highlights the potential of fiscal policy as a tool capable of reducing fluctuations in aggregate demand. • Following the Great Depression, Keynesians challenged the view that governments should always balance their budget. – Rather than balancing their budget annually, Keynesians ...
16.1 the budget and fiscal policy
... Suppose the Fed fears inflation and decides it must take action. ...
... Suppose the Fed fears inflation and decides it must take action. ...
Bade_Parkin_Macro_Lecture_CH16
... Suppose the Fed fears inflation and decides it must take action. ...
... Suppose the Fed fears inflation and decides it must take action. ...
Government Finance Indicators: Truth and Myth
... use of macro-economic statistics has gained a new momentum with the agreement within the EU of the socalled “Excessive Imbalances Procedure” (EIP), according to which several indicators are used to establish whether or not a country’s economy has some elements which are considered as being economica ...
... use of macro-economic statistics has gained a new momentum with the agreement within the EU of the socalled “Excessive Imbalances Procedure” (EIP), according to which several indicators are used to establish whether or not a country’s economy has some elements which are considered as being economica ...
Reinventing fiscal policy
... saving. As a result, either investment falls, foreign savings rise, or some combination of these occurs. Put differently, either crowding out occurs, international crowding out occurs or both" (Cunningham and Vilasuso 1994-95, p. 194).11 Clearly, both arguments relating to (10) and (11) are flawed. ...
... saving. As a result, either investment falls, foreign savings rise, or some combination of these occurs. Put differently, either crowding out occurs, international crowding out occurs or both" (Cunningham and Vilasuso 1994-95, p. 194).11 Clearly, both arguments relating to (10) and (11) are flawed. ...
MERCATUS RESEARCH THE CASE FOR NOMINAL GDP TARGETING Scott Sumner
... THE GOLD STANDARD It is not hard to see why gold and silver were used as money for much of human history. They are scarce, easy to make into coins, and hold their value over time. Even today one finds many advocates of returning to the gold standard, especially among libertarians. At the same time m ...
... THE GOLD STANDARD It is not hard to see why gold and silver were used as money for much of human history. They are scarce, easy to make into coins, and hold their value over time. Even today one finds many advocates of returning to the gold standard, especially among libertarians. At the same time m ...
spd04 Marinheiro1-k 225550 en
... downturns. Consequently, it is important to analyse whether fiscal policy is sustainable. This paper analyses the sustainability of the Portuguese public finances, making use of historical data covering a period of one and a half century, from 1861 until 2003. It analys ...
... downturns. Consequently, it is important to analyse whether fiscal policy is sustainable. This paper analyses the sustainability of the Portuguese public finances, making use of historical data covering a period of one and a half century, from 1861 until 2003. It analys ...
NBER WORKING PAPER SERIES
... chooses to label its receipts and payments. This paper demonstrates the arbitrary nature of government deficits. The argument that the deficit is not well—defined is first framed in a simple certainty model with nondistortionary policies, and then in settings with uncertain policy, distortionary pol ...
... chooses to label its receipts and payments. This paper demonstrates the arbitrary nature of government deficits. The argument that the deficit is not well—defined is first framed in a simple certainty model with nondistortionary policies, and then in settings with uncertain policy, distortionary pol ...
Which of the following would cause the production possibilities
... government spending is increased b. Increase the money supply when government spending is decreased c. Decrease the money supply when government spending is increased d. Increase interest rates when government spending is increased e. Decrease interest rates when government spending is decreased 27. ...
... government spending is increased b. Increase the money supply when government spending is decreased c. Decrease the money supply when government spending is increased d. Increase interest rates when government spending is increased e. Decrease interest rates when government spending is decreased 27. ...
Contingent Liabilities
... Contingent liabilities are possible future liabilities that will only become certain on the occurrence of some future event. Contingent liabilities are not shown in the balance sheet, but must be given adequate disclosure. Contingent liabilities can be both expl ...
... Contingent liabilities are possible future liabilities that will only become certain on the occurrence of some future event. Contingent liabilities are not shown in the balance sheet, but must be given adequate disclosure. Contingent liabilities can be both expl ...
Monetary Policy Rules in the Presence of an Punnoose Jacob Christie Smith
... Most of structural parameters are calibrated to match NZ data. The rest are estimated using Bayesian methods Sample period:1993 Q4 to 2013 Q3 before the LVR restriction was introduced. The estimated model does not have the borrowing constraint. 9 data series : I ...
... Most of structural parameters are calibrated to match NZ data. The rest are estimated using Bayesian methods Sample period:1993 Q4 to 2013 Q3 before the LVR restriction was introduced. The estimated model does not have the borrowing constraint. 9 data series : I ...
The Role of Government: Impact on Macroeconomy
... stock of capital, leading to higher productivity and higher wages. It is also a way to learn the stateof –the-art technologies developed and used in richer countries. Therefore, government can support economic activity through policies that encourage investment from abroad. Often this means removing ...
... stock of capital, leading to higher productivity and higher wages. It is also a way to learn the stateof –the-art technologies developed and used in richer countries. Therefore, government can support economic activity through policies that encourage investment from abroad. Often this means removing ...