Article - The relationship between resource utilisation and inflation
... and the development of costs have thereby become less significant for inflation. Another explanation is the high level of confidence in inflation targeting in many countries, which has inhibited the effects of cyclical fluctuations on inflation expectations. A study by the International Monetar ...
... and the development of costs have thereby become less significant for inflation. Another explanation is the high level of confidence in inflation targeting in many countries, which has inhibited the effects of cyclical fluctuations on inflation expectations. A study by the International Monetar ...
The Political Economy of Public Debt in Brazil
... Brazilian states, after the debt renegotiation and the “Fiscal Responsibility Law” were living within very strict bounds; 5) The fixed exchange rate regime in Brazil was much more flexible, so that the disequilibrium was partly corrected before depreciation. ...
... Brazilian states, after the debt renegotiation and the “Fiscal Responsibility Law” were living within very strict bounds; 5) The fixed exchange rate regime in Brazil was much more flexible, so that the disequilibrium was partly corrected before depreciation. ...
Publisher_macro_ch_12_13th
... • Under the new classical view, people save to pay expected higher future taxes (raising the supply of loanable funds to S2.) • This permits the government to borrow the funds to finance the deficit without pushing up the interest rate. Copyright ©2010 Cengage Learning. All rights reserved. Jump to ...
... • Under the new classical view, people save to pay expected higher future taxes (raising the supply of loanable funds to S2.) • This permits the government to borrow the funds to finance the deficit without pushing up the interest rate. Copyright ©2010 Cengage Learning. All rights reserved. Jump to ...
Macroeconomics, 8e (Abel/Bernanke/Croushore) Chapter 2 The
... rental income was $20, corporate profits were $683, net interest was $228, taxes on production and imports were $329, business current transfer payments were $12, the current surplus of government enterprises was $3, statistical discrepancy was $28, consumption of fixed capital was $882, factor inco ...
... rental income was $20, corporate profits were $683, net interest was $228, taxes on production and imports were $329, business current transfer payments were $12, the current surplus of government enterprises was $3, statistical discrepancy was $28, consumption of fixed capital was $882, factor inco ...
community - American Crystal Sugar
... an agricultural leader and important regional business. Ours is a distinctive story of teamwork, in which 10,000 people come together from near and far to help with the annual sugarbeet harvest. We leverage our cold winters with specialized equipment to freeze sugarbeets and manufacture sugar longer ...
... an agricultural leader and important regional business. Ours is a distinctive story of teamwork, in which 10,000 people come together from near and far to help with the annual sugarbeet harvest. We leverage our cold winters with specialized equipment to freeze sugarbeets and manufacture sugar longer ...
What Stock Market Returns to Expect for the
... economy. The relevant equity premium for investors is the equity premium net of the costs of investing. Thus, if the cost of investing in some asset decreases, that asset should have a higher price and a lower expected return gross of investment costs. The availability of mutual funds and the decrea ...
... economy. The relevant equity premium for investors is the equity premium net of the costs of investing. Thus, if the cost of investing in some asset decreases, that asset should have a higher price and a lower expected return gross of investment costs. The availability of mutual funds and the decrea ...
Investing in corporate bonds?
... maturity date, you will normally get a regular income from interest payments on the money you have invested. How often you can expect to be paid interest is called the payment ...
... maturity date, you will normally get a regular income from interest payments on the money you have invested. How often you can expect to be paid interest is called the payment ...
Optimal Mane~ary Palicy and Sacrifice Ra~ia Jeffrey C. Fuhrer*
... While the link from slower disinflation to less real disruption seems plausible, others have argued the reverse (see, for example, Ball 1994). If more rapid disinflations are also more credible disinflations, and if enhanced credibility decreases the stickiness of prices and inflation, then a more v ...
... While the link from slower disinflation to less real disruption seems plausible, others have argued the reverse (see, for example, Ball 1994). If more rapid disinflations are also more credible disinflations, and if enhanced credibility decreases the stickiness of prices and inflation, then a more v ...
Expected Return
... 27. Any pattern of returns can be "explained" if we are free to choose an indefinitely large number of explanatory factors. If a theory of asset pricing is to have value, it must explain returns using a reasonably limited number of explanatory variables (i.e., systematic factors). 28. The APT facto ...
... 27. Any pattern of returns can be "explained" if we are free to choose an indefinitely large number of explanatory factors. If a theory of asset pricing is to have value, it must explain returns using a reasonably limited number of explanatory variables (i.e., systematic factors). 28. The APT facto ...
Predicting Real Growth Using the Yield Curve
... future interest rates or future monetary policy. It may also reflect future output directly, because the 10-year interest rate may depend on the market’s guess of output in 10 years. The expectations hypothesis certainly marks the beginning of wisdom about the yield curve, but only the beginning. Th ...
... future interest rates or future monetary policy. It may also reflect future output directly, because the 10-year interest rate may depend on the market’s guess of output in 10 years. The expectations hypothesis certainly marks the beginning of wisdom about the yield curve, but only the beginning. Th ...
Paper: "From NIC to TIC to RAY: Calculating True Lifetime Cost of
... accuracy and comprehensiveness of municipal bond borrowing cost calculations. However, all these previous measures fail to take into account a significant aspect of most municipal securities offerings: the ...
... accuracy and comprehensiveness of municipal bond borrowing cost calculations. However, all these previous measures fail to take into account a significant aspect of most municipal securities offerings: the ...
Investment Strategy Considerations for Inflation
... real return of nominal bonds held through to maturity – it is actual inflation that ultimately will determine this real return. However, changes in expected inflation during the term of a nominal bond are critically important to holders of nominal bonds. Because the cash flows from a nominal bond ar ...
... real return of nominal bonds held through to maturity – it is actual inflation that ultimately will determine this real return. However, changes in expected inflation during the term of a nominal bond are critically important to holders of nominal bonds. Because the cash flows from a nominal bond ar ...
Were There Structural Breaks in the Effects of Japanese Monetary
... from the first quarter of 1991 to the first quarter of 2002 was only 0.92% per annum, which is also very low.2 Lack of aggregate demand necessarily reduced job opportunities. As a result, the unemployment rate rose from 2.2 percent (February 1991) to 5.4 percent (February 2002).3 For these reasons, ...
... from the first quarter of 1991 to the first quarter of 2002 was only 0.92% per annum, which is also very low.2 Lack of aggregate demand necessarily reduced job opportunities. As a result, the unemployment rate rose from 2.2 percent (February 1991) to 5.4 percent (February 2002).3 For these reasons, ...
Mankiw 5/e Chapter 10: Aggregate Demand I
... Question: how is this different from the government spending multiplier considered previously? The tax multiplier: …is negative: An increase in taxes reduces consumer spending, which reduces equilibrium income. …is smaller than the govt spending multiplier: (in absolute value) Consumers save the fra ...
... Question: how is this different from the government spending multiplier considered previously? The tax multiplier: …is negative: An increase in taxes reduces consumer spending, which reduces equilibrium income. …is smaller than the govt spending multiplier: (in absolute value) Consumers save the fra ...
BEING KEYNESIAN IN THE SHORT TERM AND CLASSICAL IN
... in particular, technology and the real wage are given, and it is, consequently, possible to refer to a long-term equilibrium, also called steady state or long-term center of gravitation3 . The definition of this equilibrium is conventional. On the classical long-term equilibrium, the profit rates am ...
... in particular, technology and the real wage are given, and it is, consequently, possible to refer to a long-term equilibrium, also called steady state or long-term center of gravitation3 . The definition of this equilibrium is conventional. On the classical long-term equilibrium, the profit rates am ...
Volume 71 No. 2, June 2008 Contents monetary policy
... of the late 1920s. Estimates of the peak in unemployment vary widely. The peak may have been around 20 percent (and, in addition, there was a net migration outflow, after material inflows in the 1920s). Consumer prices fell, with ...
... of the late 1920s. Estimates of the peak in unemployment vary widely. The peak may have been around 20 percent (and, in addition, there was a net migration outflow, after material inflows in the 1920s). Consumer prices fell, with ...
Spring 2013 Advanced Portfolio Management Solutions
... • Reduced fees of investing in bonds vs. equity. Disadvantages: • No diversification when invested entirely in bonds • If there are lower returns from bonds, even after adjusting for higher risk of equities, this would increase plan contributions in future years • Pricing of long futures (to match p ...
... • Reduced fees of investing in bonds vs. equity. Disadvantages: • No diversification when invested entirely in bonds • If there are lower returns from bonds, even after adjusting for higher risk of equities, this would increase plan contributions in future years • Pricing of long futures (to match p ...
document - The Cambridge Risk Framework
... catastrophes. A large economic or financial catastrophe seldom affects just one part of the system. The historical record shows that multiple market catastrophes tend to occur at the same time and impacts cascade from one crisis to the next. The recent Great Financial Crisis (GFC) is one example of ...
... catastrophes. A large economic or financial catastrophe seldom affects just one part of the system. The historical record shows that multiple market catastrophes tend to occur at the same time and impacts cascade from one crisis to the next. The recent Great Financial Crisis (GFC) is one example of ...
850.12 KB - Asian Development Bank
... the extent of achievement in each of the three policy goals in the trilemma— monetary independence, exchange rate stability, and financial openness—this paper examines how policy configurations affect macroeconomic performances with focus on the Asian economies. We find that the three policy choices ...
... the extent of achievement in each of the three policy goals in the trilemma— monetary independence, exchange rate stability, and financial openness—this paper examines how policy configurations affect macroeconomic performances with focus on the Asian economies. We find that the three policy choices ...
Figure 8-12 Responses of the Inflation Rate (p)
... continuous inflation. Along the SP curve, the economy is not in a long run equilibrium because the price level is constantly racing ahead of the nominal wage rage. There will be continuous pressures for higher wages. As labor contracts fail to anticipate further inflation, and as a result they fai ...
... continuous inflation. Along the SP curve, the economy is not in a long run equilibrium because the price level is constantly racing ahead of the nominal wage rage. There will be continuous pressures for higher wages. As labor contracts fail to anticipate further inflation, and as a result they fai ...
Interest rate
An interest rate is the rate at which interest is paid by borrowers (debtors) for the use of money that they borrow from lenders (creditors). Specifically, the interest rate is a percentage of principal paid a certain number of times per period for all periods during the total term of the loan or credit. Interest rates are normally expressed as a percentage of the principal for a period of one year, sometimes they are expressed for different periods such as a month or a day. Different interest rates exist parallelly for the same or comparable time periods, depending on the default probability of the borrower, the residual term, the payback currency, and many more determinants of a loan or credit. For example, a company borrows capital from a bank to buy new assets for its business, and in return the lender receives rights on the new assets as collateral and interest at a predetermined interest rate for deferring the use of funds and instead lending it to the borrower.Interest-rate targets are a vital tool of monetary policy and are taken into account when dealing with variables like investment, inflation, and unemployment. The central banks of countries generally tend to reduce interest rates when they wish to increase investment and consumption in the country's economy. However, a low interest rate as a macro-economic policy can be risky and may lead to the creation of an economic bubble, in which large amounts of investments are poured into the real-estate market and stock market. In developed economies, interest-rate adjustments are thus made to keep inflation within a target range for the health of economic activities or cap the interest rate concurrently with economic growth to safeguard economic momentum.