PDF
... allow any explicit role for aggregate demand in the goods market, and the growth rate of output, to have an impact on unemployment. The standard tool in macroeconomics to link growth and unemployment is the classical Okun relation, which has been incorporated into a model of the labour market and eq ...
... allow any explicit role for aggregate demand in the goods market, and the growth rate of output, to have an impact on unemployment. The standard tool in macroeconomics to link growth and unemployment is the classical Okun relation, which has been incorporated into a model of the labour market and eq ...
macroeconomic effects of exchange rate volatility in zambia
... reducing direct and portfolio investments. Speculative capital flows may also be induced by exchange rate volatility under the flexible regime that could in turn contribute to instability in economic conditions (Willett, 1982). Further, greater exchange rate volatility increases uncertainty over the ...
... reducing direct and portfolio investments. Speculative capital flows may also be induced by exchange rate volatility under the flexible regime that could in turn contribute to instability in economic conditions (Willett, 1982). Further, greater exchange rate volatility increases uncertainty over the ...
This PDF is a selection from a published volume from... Bureau of Economic Research
... central bank decides to accept a particular security as collateral at a lower haircut than otherwise available, this always lowers its required return. The required returns of other securities either all increase or all decrease, depending on what happens to the shadow cost of capital. The most intu ...
... central bank decides to accept a particular security as collateral at a lower haircut than otherwise available, this always lowers its required return. The required returns of other securities either all increase or all decrease, depending on what happens to the shadow cost of capital. The most intu ...
Macroeconomic Policy Coordination in a Competitive Real
... substantial productivity loss which makes them unable to compete internationally. The result is a permanent contraction of the tradable sector. These models focused on the case of overvaluation, but the mechanism can easily be reversed to the opposite case: a transitory RER undervaluation that leads ...
... substantial productivity loss which makes them unable to compete internationally. The result is a permanent contraction of the tradable sector. These models focused on the case of overvaluation, but the mechanism can easily be reversed to the opposite case: a transitory RER undervaluation that leads ...
PROGRESS TOWARDS CONVERGENCE 1996
... Economic and Monetary Union will begin on 1 January 1999. This will necessitate the production of a further report under Article 109j in early 1998. Against this background, the present Report highlights the degree of convergence currently achieved as a step towards the assessment of the outcome of ...
... Economic and Monetary Union will begin on 1 January 1999. This will necessitate the production of a further report under Article 109j in early 1998. Against this background, the present Report highlights the degree of convergence currently achieved as a step towards the assessment of the outcome of ...
NBER WORKING PAPER SERIES Huixin Bi Eric M. Leeper
... 3 Empirical Work on Interest Rates and Government Debt It is widely known that the empirical literature lacks consensus on the effects of government debt and deficits upon interest rates. Barth et al. (1991) surveys 42 earlier papers through 1989, of which 17 claimed positive effects, 19 showed negativ ...
... 3 Empirical Work on Interest Rates and Government Debt It is widely known that the empirical literature lacks consensus on the effects of government debt and deficits upon interest rates. Barth et al. (1991) surveys 42 earlier papers through 1989, of which 17 claimed positive effects, 19 showed negativ ...
ASSESSING EMPIRICAL RELATIONSHIPS BETWEEN OUTPUT
... considers this kind of effect as verified only in a transitory term. And the money’s transitory real effect would be constrained in the term in which prices are relatively inertial or while another type of market or information imperfection exists. On the other hand, conventional theory gives little ...
... considers this kind of effect as verified only in a transitory term. And the money’s transitory real effect would be constrained in the term in which prices are relatively inertial or while another type of market or information imperfection exists. On the other hand, conventional theory gives little ...
NBER WORKING PAPER SERIES TARIFFS, EMPLOYMENT AND THE CURRENT ACCOUNT:
... and firstperiod output go down after an increase in the tariff rate (equations (3 & 4)). Tariff increases would lower the real wage "ex ante"; real wage indexation will, to prevent that, lead to an increase in the real domestic product wage and therefore to unemployment (qualifications to that resul ...
... and firstperiod output go down after an increase in the tariff rate (equations (3 & 4)). Tariff increases would lower the real wage "ex ante"; real wage indexation will, to prevent that, lead to an increase in the real domestic product wage and therefore to unemployment (qualifications to that resul ...
Infraestructura Energética Nova, S. A. B. de C. V. and Subsidiaries
... the case of the Power Segment, the demand for power distribution service is higher during months with hot weather. ...
... the case of the Power Segment, the demand for power distribution service is higher during months with hot weather. ...
Table of Contents - Maryland Public Service Commission
... business interests, can strain an individual company’s ...
... business interests, can strain an individual company’s ...
report - Standard Chartered Bank
... financial transactions. Hence a rise in money may portend an increase in stock or house purchases. This effect can be seen in some of our analysis – e.g., the jump in US money growth in 1987 ahead of the stock-market crash of that year and again during the stock and housing bubbles around the turn o ...
... financial transactions. Hence a rise in money may portend an increase in stock or house purchases. This effect can be seen in some of our analysis – e.g., the jump in US money growth in 1987 ahead of the stock-market crash of that year and again during the stock and housing bubbles around the turn o ...
economics
... (a) shows the model of aggregate demand and aggregate supply. If aggregate demand is low, the economy is at point A; output is low (15,000), and the price level is low (102). If aggregate demand is high, the economy is at point B; output is high (16,000), and the price level is high (106). Panel (b) ...
... (a) shows the model of aggregate demand and aggregate supply. If aggregate demand is low, the economy is at point A; output is low (15,000), and the price level is low (102). If aggregate demand is high, the economy is at point B; output is high (16,000), and the price level is high (106). Panel (b) ...
Examples of Level II exam item set questions
... create shareholder value. Price Objective & Risk We are reiterating our Buy recommendation on SKATE with a 12-month price objective of $45. This assumes that SKATE trades at 16.0X our 2010 estimated EPS of $2.25 and 17.3X our 2011 estimated EPS of $2.60. Risks to our price objective include: a slowd ...
... create shareholder value. Price Objective & Risk We are reiterating our Buy recommendation on SKATE with a 12-month price objective of $45. This assumes that SKATE trades at 16.0X our 2010 estimated EPS of $2.25 and 17.3X our 2011 estimated EPS of $2.60. Risks to our price objective include: a slowd ...
Bank leverage and monetary policy`s risk-taking - ECB
... This paper presents evidence of a risk-taking channel of monetary policy for the U.S. banking system. We use confidential data on banks’ internal ratings on the quality of loans to businesses from the Federal Reserve’s survey of terms of business lending. We find that the quality of lending – measur ...
... This paper presents evidence of a risk-taking channel of monetary policy for the U.S. banking system. We use confidential data on banks’ internal ratings on the quality of loans to businesses from the Federal Reserve’s survey of terms of business lending. We find that the quality of lending – measur ...
What is Indexed Universal Life?
... Tommy joined Guardian in early 2010 as a Second Vice President in charge of Competitive Intelligence and Product Development. Among his responsibilities, Tommy oversees efforts to provide both life product support and conservation support to field representatives. In his prior position with New ...
... Tommy joined Guardian in early 2010 as a Second Vice President in charge of Competitive Intelligence and Product Development. Among his responsibilities, Tommy oversees efforts to provide both life product support and conservation support to field representatives. In his prior position with New ...
SOUTHWEST BANCORP INC (Form: 10-Q, Received
... and timing of future changes in interest rates, market behavior, and other economic conditions , future laws , regulations and accounting principles; changes in effective tax rates or the expiration of favorable tax provisions; changes in regulatory standards and examination policies; and a variety ...
... and timing of future changes in interest rates, market behavior, and other economic conditions , future laws , regulations and accounting principles; changes in effective tax rates or the expiration of favorable tax provisions; changes in regulatory standards and examination policies; and a variety ...
MARXIAN CRISIS THEORY AND THE POSTWAR U. S. ECONOMY
... increase the rate of profit, and thereby make possible a revival of capital investment and a return to the more prosperous conditions of the “golden age”? According to this Marxian theory, the rate of profit varies directly with the profit per worker, and varies inversely with the capital per worker ...
... increase the rate of profit, and thereby make possible a revival of capital investment and a return to the more prosperous conditions of the “golden age”? According to this Marxian theory, the rate of profit varies directly with the profit per worker, and varies inversely with the capital per worker ...
spd04 Missale2 225568 en
... We show that the debt-to-GDP ratio can be stabilized by issuing debt instruments that provide a hedge against variations in the debt ratio due to lower-than-expected inflation and output growth. For instance, if interest rates and output were negatively correlated, a long maturity debt would insulate ...
... We show that the debt-to-GDP ratio can be stabilized by issuing debt instruments that provide a hedge against variations in the debt ratio due to lower-than-expected inflation and output growth. For instance, if interest rates and output were negatively correlated, a long maturity debt would insulate ...
Liquidity and Growth - Society for Economic Dynamics
... of inflation that are consistent with the empirical evidence. For example, we find that the growth gain of reducing the inflation rate from 10% to 0% is 0.4 percentage points while a reduction from 40% to 30% only yields a gain of 0.13 percentage points. The small growth effects in the previously men ...
... of inflation that are consistent with the empirical evidence. For example, we find that the growth gain of reducing the inflation rate from 10% to 0% is 0.4 percentage points while a reduction from 40% to 30% only yields a gain of 0.13 percentage points. The small growth effects in the previously men ...
PDF
... nominal policy rate to two gaps for a given inflation target and real long-run equilibrium interest rate consistent with trend growth: the gap between actual and targeted inflation (‘the inflation gap’) and the gap between actual and potential output (‘the output gap’). A positive output or inflatio ...
... nominal policy rate to two gaps for a given inflation target and real long-run equilibrium interest rate consistent with trend growth: the gap between actual and targeted inflation (‘the inflation gap’) and the gap between actual and potential output (‘the output gap’). A positive output or inflatio ...
Sample Chapter 2 (PDF, 28 Pages
... understand the concept of measuring domestic output, consider, for example, Toyota and TD Bank. Toyota is a Japanese company that produces cars in Canada. Canadian GDP includes the value of those cars. The TD Bank, which is a Canadian company, has a large presence in the United States. The value of ...
... understand the concept of measuring domestic output, consider, for example, Toyota and TD Bank. Toyota is a Japanese company that produces cars in Canada. Canadian GDP includes the value of those cars. The TD Bank, which is a Canadian company, has a large presence in the United States. The value of ...
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.