NBER WORKING PAPER SERIES MONETARY POLICIES FOR DEVELOPING COUNTRIES: Haizhou Huang
... investigated the consequences of weak public institutions including corruption for economic growth, capital controls, stock market volatility, tax evasion, and international capital flows. For the purpose of our paper, we model corruption as an erosion of a government’s ability to collect revenue th ...
... investigated the consequences of weak public institutions including corruption for economic growth, capital controls, stock market volatility, tax evasion, and international capital flows. For the purpose of our paper, we model corruption as an erosion of a government’s ability to collect revenue th ...
krugan
... AP Student Expectations Develop study skills of text and supplemental materials to enhance activities and gain a thorough understanding of the course work. AP Economics is a course that builds upon previous lessons. Participate in class and help fellow students in activities. Participate in voluntar ...
... AP Student Expectations Develop study skills of text and supplemental materials to enhance activities and gain a thorough understanding of the course work. AP Economics is a course that builds upon previous lessons. Participate in class and help fellow students in activities. Participate in voluntar ...
13.1 money and the interest rate
... • The inflation tax is bigger than the tax on money holding, and it interacts with the income tax to lower saving and investment. • The core of the problem is that inflation increases the nominal interest rate, and because income taxes are paid on nominal interest income, the true income tax rate ri ...
... • The inflation tax is bigger than the tax on money holding, and it interacts with the income tax to lower saving and investment. • The core of the problem is that inflation increases the nominal interest rate, and because income taxes are paid on nominal interest income, the true income tax rate ri ...
The NAIRU in Theory and Practice
... A second, more tractable econometric issue is the computation of standard errors. Until recently, the empirical literature on the Phillips curve rarely provided standard errors for estimates of the NAIRU. This odd oversight was corrected in an important paper by Staiger, Stock and Watson (1997). Usi ...
... A second, more tractable econometric issue is the computation of standard errors. Until recently, the empirical literature on the Phillips curve rarely provided standard errors for estimates of the NAIRU. This odd oversight was corrected in an important paper by Staiger, Stock and Watson (1997). Usi ...
The Two Triangles: what did Wicksell and Keynes know about
... 290) observed that almost all macroeconomists now work within a framework that combines three ingredients: intertemporal optimization, imperfect competition and sticky prices. This combination characterizes the current consensus view that is generally labelled as the New Neoclassical Synthesis (NNS) ...
... 290) observed that almost all macroeconomists now work within a framework that combines three ingredients: intertemporal optimization, imperfect competition and sticky prices. This combination characterizes the current consensus view that is generally labelled as the New Neoclassical Synthesis (NNS) ...
T 2 A Tour of the Book
... imply that the value of final goods and services—the first definition of GDP—can also be thought of as the sum of the value added by all the firms in the economy—the second definition of GDP. The labour share in So far, we have looked at GDP from the production side. The other way of looking at GDP ...
... imply that the value of final goods and services—the first definition of GDP—can also be thought of as the sum of the value added by all the firms in the economy—the second definition of GDP. The labour share in So far, we have looked at GDP from the production side. The other way of looking at GDP ...
Principles of Economics, Case and Fair,9e
... Cost-Push, or Supply-Side, Inflation stagflation Occurs when output is falling at the same time that prices are rising. FIGURE 13.8 Cost Shocks Are Bad News for Policy Makers A cost shock with no change in monetary or fiscal policy would shift the aggregate supply curve from AS0 to AS1, lower outp ...
... Cost-Push, or Supply-Side, Inflation stagflation Occurs when output is falling at the same time that prices are rising. FIGURE 13.8 Cost Shocks Are Bad News for Policy Makers A cost shock with no change in monetary or fiscal policy would shift the aggregate supply curve from AS0 to AS1, lower outp ...
del11 Carlin 16783019 en
... focuses only on stabilization and not on deficit bias or spillovers to other members; it is broader because it includes the role of wage-setting institutions. The motivation is the observation that the problems of some Eurozone member countries revealed in the crisis from early 2010 do not appear to ...
... focuses only on stabilization and not on deficit bias or spillovers to other members; it is broader because it includes the role of wage-setting institutions. The motivation is the observation that the problems of some Eurozone member countries revealed in the crisis from early 2010 do not appear to ...
FRBSF E L CONOMIC ETTER
... low and stable inflation as a primary goal of monetary policy, as well as on the key role of inflation and forecasts of future inflation in providing critical signals to which the Fed needs to react. Economists also agree that the measure of real activity relevant for monetary policy is the gap betw ...
... low and stable inflation as a primary goal of monetary policy, as well as on the key role of inflation and forecasts of future inflation in providing critical signals to which the Fed needs to react. Economists also agree that the measure of real activity relevant for monetary policy is the gap betw ...
Inflation, Crisis and Money
... this model, in contrast to what Keynesian theory suggested, however, is not negative all the time. When the interest rate is high, under the substitution effect bond holding increases and thus money demand decreases. However, the wealth effect of an interest rate change could either reinforce the su ...
... this model, in contrast to what Keynesian theory suggested, however, is not negative all the time. When the interest rate is high, under the substitution effect bond holding increases and thus money demand decreases. However, the wealth effect of an interest rate change could either reinforce the su ...
Which of the following combinations of economic policies would be
... 5. A country’s infrastructure refers to its a. natural resources b. private financial institutions c. proportion of population with postsecondary education d. public capital goods such as highways e. internal, as opposed to external, debt 6. In the short run, which of the following will most likely ...
... 5. A country’s infrastructure refers to its a. natural resources b. private financial institutions c. proportion of population with postsecondary education d. public capital goods such as highways e. internal, as opposed to external, debt 6. In the short run, which of the following will most likely ...
Stagnation Traps Gianluca Benigno and Luca Fornaro January 2015 Preliminary, comments welcome
... policy. Our theory thus combines the Keynesian insight that unemployment might arise due to weak aggregate demand, with the notion, developed by the endogenous growth literature, that productivity growth is the result of investment in innovation by profit-maximizing agents. We show that the interact ...
... policy. Our theory thus combines the Keynesian insight that unemployment might arise due to weak aggregate demand, with the notion, developed by the endogenous growth literature, that productivity growth is the result of investment in innovation by profit-maximizing agents. We show that the interact ...
The Two Triangles
... considerably modifies the dynamic properties of the system with respect to the standard NNS framework where this effect is not present. First, output and inflation gaps display the autocorrelated dynamic structure that is typically observed in the data, with no addition of further frictions and impe ...
... considerably modifies the dynamic properties of the system with respect to the standard NNS framework where this effect is not present. First, output and inflation gaps display the autocorrelated dynamic structure that is typically observed in the data, with no addition of further frictions and impe ...
es09 Ragot 11171426 en
... a binding borrowing constraint if they stay unemployed for a su¢ ciently large number of periods. The second assumption is that the marginal utility of wealth is constant above a certain level of wealth, which can be seen as a extreme but particularly simple form of decreasing relative risk aversion ...
... a binding borrowing constraint if they stay unemployed for a su¢ ciently large number of periods. The second assumption is that the marginal utility of wealth is constant above a certain level of wealth, which can be seen as a extreme but particularly simple form of decreasing relative risk aversion ...
Liquidity Traps and Monetary Policy: Managing a Credit Crunch
... the central bank rhetoric of exclusively emphasizing the short-term nominal interest rate. Measures of liquidity or money were completely ignored as a stance of monetary policy. One reason was that the empirical relationships between monetary aggregates, interest rates, and prices, which remained st ...
... the central bank rhetoric of exclusively emphasizing the short-term nominal interest rate. Measures of liquidity or money were completely ignored as a stance of monetary policy. One reason was that the empirical relationships between monetary aggregates, interest rates, and prices, which remained st ...
Early 1980s recession
The early 1980s recession describes the severe global economic recession affecting much of the developed world in the late 1970s and early 1980s. The United States and Japan exited the recession relatively early, but high unemployment would continue to affect other OECD nations through to at least 1985. Long-term effects of the recession contributed to the Latin American debt crisis, the savings and loans crisis in the United States, and a general adoption of neoliberal economic policies throughout the 1980s and 1990s.