AGGREGATE DEMAND AND AGGREGATE SUPPLY The
... aggregate demand thus leading to a decrease in price level and output in the short-run. In the long-run however the output is going to return the narutal GDP level but the pric level will be the lower than under the initial long-run equilibrium b) Increase in government purchases is going to increas ...
... aggregate demand thus leading to a decrease in price level and output in the short-run. In the long-run however the output is going to return the narutal GDP level but the pric level will be the lower than under the initial long-run equilibrium b) Increase in government purchases is going to increas ...
Local Currency Bond Markets
... and government, and rely less on foreign-currency-denominated bonds. Creditorfriendly laws matter, too; strong rule of law is associated with deeper local bond markets, whereas countries with better creditor rights are able to issue a higher share of bonds in their local currency. We also show that ...
... and government, and rely less on foreign-currency-denominated bonds. Creditorfriendly laws matter, too; strong rule of law is associated with deeper local bond markets, whereas countries with better creditor rights are able to issue a higher share of bonds in their local currency. We also show that ...
This PDF is a selection from a published volume from... Economic Research Volume Title: NBER International Seminar on Macroeconom
... itself to the goal of temporarily attaining inflation rates above the long‐ run target. The current crisis has proven that monetary policy makers have far more tools in their toolkits than the short‐term interest rate, which was the focus of most model‐based research on the ZLB. Indeed, the ongoing ...
... itself to the goal of temporarily attaining inflation rates above the long‐ run target. The current crisis has proven that monetary policy makers have far more tools in their toolkits than the short‐term interest rate, which was the focus of most model‐based research on the ZLB. Indeed, the ongoing ...
... monetary unit. A second is that accounts are kept in the unit. And a third is that the unit denominates securities that are used to carry out transactions and to store wealth. In all modern economies, the government provides some of those securities itself. In particular, governments monopolize the ...
Monetary Policy in the 2008-2009 Recession
... system to allocate resources efficiently, either across markets or over time, produced an underemployment equilibrium in which, in response to shocks, real output adjusted, not prices. In a way given by the multiplier, real output would adjust to the variations in investment driven by animal spirits ...
... system to allocate resources efficiently, either across markets or over time, produced an underemployment equilibrium in which, in response to shocks, real output adjusted, not prices. In a way given by the multiplier, real output would adjust to the variations in investment driven by animal spirits ...
An Overview of Brazil`s Balance of Payment
... The reader should note that a current account deficit in the balance of payments manifests itself in an excess of absorption (consumption plus investment) in the gross national product at market prices or, equivalently, an excess in total investments by the economy in internal savings. This being st ...
... The reader should note that a current account deficit in the balance of payments manifests itself in an excess of absorption (consumption plus investment) in the gross national product at market prices or, equivalently, an excess in total investments by the economy in internal savings. This being st ...
Monetary Policy in the 2008–2009 Recession
... system to allocate resources efficiently, either across markets or over time, produced an underemployment equilibrium in which, in response to shocks, real output adjusted, not prices. In a way given by the multiplier, real output would adjust to the variations in investment driven by animal spirits ...
... system to allocate resources efficiently, either across markets or over time, produced an underemployment equilibrium in which, in response to shocks, real output adjusted, not prices. In a way given by the multiplier, real output would adjust to the variations in investment driven by animal spirits ...
1999 South-Western College Publishing
... • Checkable deposits • Travelers checks • Currency ©1999 South-Western College Publishing ...
... • Checkable deposits • Travelers checks • Currency ©1999 South-Western College Publishing ...
Central banking in the XXI century: never say never
... (among others, Krugman, 2008). Bernanke argued that the poor performance of the euro area compared to the US after 2009 may have reflected the fact that fiscal policy was tighter than warranted by economic conditions.4 In his Jackson Hole speech in 2014, President Draghi also signalled that fiscal p ...
... (among others, Krugman, 2008). Bernanke argued that the poor performance of the euro area compared to the US after 2009 may have reflected the fact that fiscal policy was tighter than warranted by economic conditions.4 In his Jackson Hole speech in 2014, President Draghi also signalled that fiscal p ...
Lecture Note on Classical Macroeconomic Theory
... Motivation for Monetary Neutrality Why should printing green pieces of paper (dollars) have an impact on production, consumption, and other real economic variables? After all, people care about real things like food, cars, or leisure. This reasoning motivates why Classical macroeconomic starts with ...
... Motivation for Monetary Neutrality Why should printing green pieces of paper (dollars) have an impact on production, consumption, and other real economic variables? After all, people care about real things like food, cars, or leisure. This reasoning motivates why Classical macroeconomic starts with ...
EN EN Results of in-depth reviews under Regulation (EU) No 1176
... smaller EU member states with low relative income levels. A widening current account deficit was largely funded by the foreign parents of Croatian banks and by Foreign Direct Investment (FDI) into inward-oriented sectors of the Croatian economy. As the global financial crisis unfolded, capital inflo ...
... smaller EU member states with low relative income levels. A widening current account deficit was largely funded by the foreign parents of Croatian banks and by Foreign Direct Investment (FDI) into inward-oriented sectors of the Croatian economy. As the global financial crisis unfolded, capital inflo ...
Dealing with the Great Depression - Federal Reserve Bank of St. Louis
... Lesson 4 | Dealing with the Great Depression growth), real income, employment, industrial production, wholesale-retail credit and the loss of the overall confidence in the economy. 3. Tell students that when banks failed, depositors lost their money—and people lost confidence in the banking system ...
... Lesson 4 | Dealing with the Great Depression growth), real income, employment, industrial production, wholesale-retail credit and the loss of the overall confidence in the economy. 3. Tell students that when banks failed, depositors lost their money—and people lost confidence in the banking system ...
The financialization of modern Economics in monetary circuit theory
... According to the inner logic of monetary circuit theory, bank loans make deposits (Withers, 1909) but ‘[t]hese newly created deposits must be held somewhere in the economy, willingly or unwillingly, and the increased holdings count as saving, voluntary or involuntary’ (Chick 1996: 13-14, emphasis ad ...
... According to the inner logic of monetary circuit theory, bank loans make deposits (Withers, 1909) but ‘[t]hese newly created deposits must be held somewhere in the economy, willingly or unwillingly, and the increased holdings count as saving, voluntary or involuntary’ (Chick 1996: 13-14, emphasis ad ...
NBER WORKING PAPER SERIES THE ROLES OF MONETARY, FINANCIAL AND
... supply function--the proposition that only unanticipated policy changes (or other unanticipated, exogenous disturbances) can cause the real economic system to depart from an otherwise policy-invariant equilibrium ...
... supply function--the proposition that only unanticipated policy changes (or other unanticipated, exogenous disturbances) can cause the real economic system to depart from an otherwise policy-invariant equilibrium ...
here - National Institute of Economic and industry Research
... borrowing can be of either of these two types. Australia’s current position is that the government accounts have been conservatively managed but the banking system is exposed to overseas creditors. Accordingly, it is of interest to note the antecedents to banking crises identified by Reinhart and Ro ...
... borrowing can be of either of these two types. Australia’s current position is that the government accounts have been conservatively managed but the banking system is exposed to overseas creditors. Accordingly, it is of interest to note the antecedents to banking crises identified by Reinhart and Ro ...
Deficits, Interest Rates, And Monetary Policy
... mechanism linking deficits with interest rates, however, needs some attention. Two alternative hypotheses with very different implications confront us, one dominates the views of the public arena and the other emerges from economic and finance analysis. The arguments advanced in the public critique ...
... mechanism linking deficits with interest rates, however, needs some attention. Two alternative hypotheses with very different implications confront us, one dominates the views of the public arena and the other emerges from economic and finance analysis. The arguments advanced in the public critique ...
Nonneutrality of Money in Classical Monetary Thought
... ihe structure of excise taxes was fixed in’nomi&l terms, moneyand hence price-level changes could, via their effect on the real tax structure, alter profit rates and thus incentives to produce in different sectors of the economy. The result would be a change in the composition, though not the aggreg ...
... ihe structure of excise taxes was fixed in’nomi&l terms, moneyand hence price-level changes could, via their effect on the real tax structure, alter profit rates and thus incentives to produce in different sectors of the economy. The result would be a change in the composition, though not the aggreg ...
Capital Controls and Optimal Chinese Monetary Policy
... to participation in international asset markets. China also maintains controls over fluctuations in its exchange rates. These restrictions, combined with China’s open trade stance and large and persistent current account surpluses pose challenges to the country’s monetary policy. Under capital accou ...
... to participation in international asset markets. China also maintains controls over fluctuations in its exchange rates. These restrictions, combined with China’s open trade stance and large and persistent current account surpluses pose challenges to the country’s monetary policy. Under capital accou ...
National Asset-Liability Management Europe Symposium
... underdeveloped nature of financial markets in EMEs made financial crises unavoidable. In addition, inability to implement countercyclical policies made EMEs suffer from larger damaging effects of financial crises on their real economies than otherwise. It is noteworthy that despite the lack of capac ...
... underdeveloped nature of financial markets in EMEs made financial crises unavoidable. In addition, inability to implement countercyclical policies made EMEs suffer from larger damaging effects of financial crises on their real economies than otherwise. It is noteworthy that despite the lack of capac ...
Análise Econômica
... agents, before making their expectations, will take this information into account and, as a result, anticipate the effects of the increase in the money supply. Thus, output and employment will not change. In this situation, the trade-off, either temporary or permanent, between inflation and unemploy ...
... agents, before making their expectations, will take this information into account and, as a result, anticipate the effects of the increase in the money supply. Thus, output and employment will not change. In this situation, the trade-off, either temporary or permanent, between inflation and unemploy ...
NBER WORKING PAPER SERIES THE SHORT-RUN RELATION BETWEEN Sebastian Edwards
... in section II: in these highly inflationary countries, money growth (actual and unexpected) has no effect on output growth. However, inflation tends to have a significantly negative effect on growth in these countries. ...
... in section II: in these highly inflationary countries, money growth (actual and unexpected) has no effect on output growth. However, inflation tends to have a significantly negative effect on growth in these countries. ...
Sustainable macroeconomic balance and the implications for
... When a country runs a deficit on the trade balance it means more is imported than exported. As long as foreigners are willing to finance the difference this deficit poses no problem. This is exactly the case in the US where residents consume more than they produce and this is financed by internation ...
... When a country runs a deficit on the trade balance it means more is imported than exported. As long as foreigners are willing to finance the difference this deficit poses no problem. This is exactly the case in the US where residents consume more than they produce and this is financed by internation ...
INTERNATIONAL FINANCE
... D. exports 3. Which of the following is the largest component in terms of the spending in most countries? A. government expenditure B. imports expenditure C. investment expenditure D. consumption expenditure 4. Autonomous consumption is a function of __________. A. disposable income B. real GDP C. s ...
... D. exports 3. Which of the following is the largest component in terms of the spending in most countries? A. government expenditure B. imports expenditure C. investment expenditure D. consumption expenditure 4. Autonomous consumption is a function of __________. A. disposable income B. real GDP C. s ...
Lecture 11: Macro: Government Policy
... “triggers” (automatic adjustments) – E.g., tax cuts that only go into effect during recession, or only when government can afford them Spring 2004 ...
... “triggers” (automatic adjustments) – E.g., tax cuts that only go into effect during recession, or only when government can afford them Spring 2004 ...
TheGroupOf8ExternalDebtCancellation.pdf
... total public external debt stock equaled 140% of GDP. In the same year the net present value of its public external debt stock reached 209% of central government revenue. The debt service is equivalent to 8% of its exports of goods and non-factor services and to 17% of central government revenue. In ...
... total public external debt stock equaled 140% of GDP. In the same year the net present value of its public external debt stock reached 209% of central government revenue. The debt service is equivalent to 8% of its exports of goods and non-factor services and to 17% of central government revenue. In ...