Lecture 22
... SR-AS shifts large and frequent – Recall that the SR-AS curve shifts when input prices change. – Turns out that input prices are affected by the price of imports. – Turns out that the price of imports increased considerably in the 1970s. – This led to large negative cost shocks to the SR-AS curve du ...
... SR-AS shifts large and frequent – Recall that the SR-AS curve shifts when input prices change. – Turns out that input prices are affected by the price of imports. – Turns out that the price of imports increased considerably in the 1970s. – This led to large negative cost shocks to the SR-AS curve du ...
Sterilization of Capital Inflows and Balance of Payments
... to have diminished more recently (Montiel and Reinhart, 1997 and 1999), they continue to be highly relevant to the determination of their “timing and magnitude” (Montiel and Reinhart, 1997)1, and sudden capital flow reversals due to contagion from other regional emerging markets have become more co ...
... to have diminished more recently (Montiel and Reinhart, 1997 and 1999), they continue to be highly relevant to the determination of their “timing and magnitude” (Montiel and Reinhart, 1997)1, and sudden capital flow reversals due to contagion from other regional emerging markets have become more co ...
Learning from the Past to Invest for the Future
... • What reasons could explain this – Less risk, less business cycle volatility – More years spent in prosperity, less in recession (than 1930s) – Reasons to think inflation conquered ...
... • What reasons could explain this – Less risk, less business cycle volatility – More years spent in prosperity, less in recession (than 1930s) – Reasons to think inflation conquered ...
Exam 3 - UTA.edu
... 1) Assuming the economy is starting at the natural rate of output and everything else held constant, the effect of ________ in aggregate ________ is a rise in both inflation and output in the short -run, but in the long-run the only effect is a rise in inflation. A) a decrease; supply B) an increase ...
... 1) Assuming the economy is starting at the natural rate of output and everything else held constant, the effect of ________ in aggregate ________ is a rise in both inflation and output in the short -run, but in the long-run the only effect is a rise in inflation. A) a decrease; supply B) an increase ...
A Basic Critique of Economic Arguments for Local
... might expect it to be issued wherever cities are integrated into larger monetary economies. Since this describes almost all cities during at least the last half millennium, one might expect local currencies to have emerged all over the world. Furthermore, there should be more pressure for local curr ...
... might expect it to be issued wherever cities are integrated into larger monetary economies. Since this describes almost all cities during at least the last half millennium, one might expect local currencies to have emerged all over the world. Furthermore, there should be more pressure for local curr ...
Test Title HERE
... 2013 suffered from a poor harvest, falling potash exports after the break-up of an export cartel, and a fall-out with Russia over oil re-exports Growth was expected originally to do better in 2014 but then the Ukraine/Russia crisis kicked in Growth in 2014 was helped by a better agricultural output ...
... 2013 suffered from a poor harvest, falling potash exports after the break-up of an export cartel, and a fall-out with Russia over oil re-exports Growth was expected originally to do better in 2014 but then the Ukraine/Russia crisis kicked in Growth in 2014 was helped by a better agricultural output ...
market moves 12.20.2013
... This final chart further demonstrates bank lending has not grown meaningfully since the beginning of the so-called Great Recession. This further suggests that the “money creation” concerns of the monetarists have not occurred and hence their associated inflation concerns have not been realized. At s ...
... This final chart further demonstrates bank lending has not grown meaningfully since the beginning of the so-called Great Recession. This further suggests that the “money creation” concerns of the monetarists have not occurred and hence their associated inflation concerns have not been realized. At s ...
Currency Wars, Coordination, and Capital Controls
... Expansionary AE monetary policy affects capital outflows to EMs. Traditionally, this effect was thought to be captured by the effect of these flows on the exchange rate. To the extent that EMs were willing to let their exchange rate float, the argument went, they could isolate themselves from AE moneta ...
... Expansionary AE monetary policy affects capital outflows to EMs. Traditionally, this effect was thought to be captured by the effect of these flows on the exchange rate. To the extent that EMs were willing to let their exchange rate float, the argument went, they could isolate themselves from AE moneta ...
ecomacro2005_avec_co..
... An exercise on tax policy... 4/ Keeping the objective of full employment, without budget deficit, what should now be the tax rate if we assume a positive impact of government intervention on anticipation with an autonomous investment moving upwards to ...
... An exercise on tax policy... 4/ Keeping the objective of full employment, without budget deficit, what should now be the tax rate if we assume a positive impact of government intervention on anticipation with an autonomous investment moving upwards to ...
CHAPTER 5 Review - Nimantha Manamperi, PhD
... 7. According to the quantity theory a 5 percent increase in money growth increases inflation by ___ percent. According to the Fisher equation a 5 percent increase in the rate of inflation increases the nominal interest rate by _____. A) 1; 5 B) 5; 1 C) 1; 1 D) 5; 5 8. The ex ante real interest rate ...
... 7. According to the quantity theory a 5 percent increase in money growth increases inflation by ___ percent. According to the Fisher equation a 5 percent increase in the rate of inflation increases the nominal interest rate by _____. A) 1; 5 B) 5; 1 C) 1; 1 D) 5; 5 8. The ex ante real interest rate ...
This PDF is a selection from a published volume from... Economic Research Volume Title: Europe and the Euro
... 5. Finally, and most importantly: is it possible to disentangle the effect of participation in the single market from the introduction of the euro? The main result of their empirical study can be summarized in two sentences: 1. The adoption of the euro had a significant effect in promoting the adoptio ...
... 5. Finally, and most importantly: is it possible to disentangle the effect of participation in the single market from the introduction of the euro? The main result of their empirical study can be summarized in two sentences: 1. The adoption of the euro had a significant effect in promoting the adoptio ...
eiteman_ppt_ch02
... – entirely with foreign reserves at all times. • This means that a unit of domestic currency cannot be introduced into the economy without an additional unit of foreign exchange reserves being obtained first. – Argentina moved from a managed exchange rate to a currency board in 1991 – In 2002, the c ...
... – entirely with foreign reserves at all times. • This means that a unit of domestic currency cannot be introduced into the economy without an additional unit of foreign exchange reserves being obtained first. – Argentina moved from a managed exchange rate to a currency board in 1991 – In 2002, the c ...
I - Niehaus Center for Globalization and Governance
... Abstract: This paper develops a political explanation of exchange rate valuation choices, and applies the theory to Argentina between 1963 and 2007. Both ideational theories and existing interest group models miss important features of the politics of exchange rate valuation in Argentina. This paper ...
... Abstract: This paper develops a political explanation of exchange rate valuation choices, and applies the theory to Argentina between 1963 and 2007. Both ideational theories and existing interest group models miss important features of the politics of exchange rate valuation in Argentina. This paper ...
This PDF is a selection from an out-of-print volume from... Bureau of Economic Research
... particular, stabilization of aggregate output is likely to stabilize bond and stock returns, and this stabilization could have important welfare consequences. However, Atkeson and Phelan show that these asset price consequences need not have important welfare effects either. In their model, the welf ...
... particular, stabilization of aggregate output is likely to stabilize bond and stock returns, and this stabilization could have important welfare consequences. However, Atkeson and Phelan show that these asset price consequences need not have important welfare effects either. In their model, the welf ...
How the Fed Conducts Monetary Policy PPT
... The monetary policy transmission process is long and drawn out, given the series of chain events. ...
... The monetary policy transmission process is long and drawn out, given the series of chain events. ...
View/Open
... The model began by recognizing that international markets in the sixties were gradually becoming more integrated because of the new developments in technology that were taking place. In addition, it recognized that a growing number of countries were in the process of dismantling the rigorous exchang ...
... The model began by recognizing that international markets in the sixties were gradually becoming more integrated because of the new developments in technology that were taking place. In addition, it recognized that a growing number of countries were in the process of dismantling the rigorous exchang ...
mehr...
... The recent hike in oil prices and the depreciation of the euro are the main forces keeping inflation at its current level. Under the assumption that oil prices remain between $52 and $55/barrel and that the dollar/euro exchange rate fluctuates around 1.20 in the second half of the year, inflation wo ...
... The recent hike in oil prices and the depreciation of the euro are the main forces keeping inflation at its current level. Under the assumption that oil prices remain between $52 and $55/barrel and that the dollar/euro exchange rate fluctuates around 1.20 in the second half of the year, inflation wo ...
Asia`s 2010 Outlook: Strong Growth and Tame Inflation Reduce
... new loans in January (RMB1.39 trillion), to ...
... new loans in January (RMB1.39 trillion), to ...
A study of the diversification of China`s foreign reserves
... In China, in addition to the deposits from households, the liabilities of commercial banks include advances from the central bank of China. In the U.S. and Euroland, besides loans to firms, the assets of commercial banks include Treasury Bills. In China, advances from the central bank play the role ...
... In China, in addition to the deposits from households, the liabilities of commercial banks include advances from the central bank of China. In the U.S. and Euroland, besides loans to firms, the assets of commercial banks include Treasury Bills. In China, advances from the central bank play the role ...
Internal balance External balance
... maintaining internal balance was mixed. – Example: The U.S. unemployment rate averaged 6.8% between 1890 and 1913, but it averaged under 5.7% between 1946 and 1992. ...
... maintaining internal balance was mixed. – Example: The U.S. unemployment rate averaged 6.8% between 1890 and 1913, but it averaged under 5.7% between 1946 and 1992. ...
Document
... The Quantity Theory in 5 Steps Start with quantity equation: M x V = P x Y 1. V is stable. 2. So, a change in M causes nominal GDP (P x Y) to change by the same percentage. 3. A change in M does not affect Y: money is neutral, Y is determined by technology & resources 4. So, P changes by same perce ...
... The Quantity Theory in 5 Steps Start with quantity equation: M x V = P x Y 1. V is stable. 2. So, a change in M causes nominal GDP (P x Y) to change by the same percentage. 3. A change in M does not affect Y: money is neutral, Y is determined by technology & resources 4. So, P changes by same perce ...
Econ 122a. Fall 2013. Note on definition of potential output Potential
... is operating at its potential, there are high levels of utilization of the labor force and the capital stock. Potential output is determined by the economy’s productive capacity, which depends upon the inputs available (capital, labor, land, etc.) and the economy’s technological efficiency. Potentia ...
... is operating at its potential, there are high levels of utilization of the labor force and the capital stock. Potential output is determined by the economy’s productive capacity, which depends upon the inputs available (capital, labor, land, etc.) and the economy’s technological efficiency. Potentia ...
the phillips curve quiz
... The Phillips curve shows the relationship between the A: nominal interest rate and the real interest rate. B: real interest rate and the unemployment rate. C: unemployment rate and the inflation rate. D: expected rate of inflation and the nominal interest rate. ...
... The Phillips curve shows the relationship between the A: nominal interest rate and the real interest rate. B: real interest rate and the unemployment rate. C: unemployment rate and the inflation rate. D: expected rate of inflation and the nominal interest rate. ...
1st Quarter GDP (Preliminary)
... from the previous estimate of 0.7%. Most of the upward revision was due to consumer spending as well as business investment in intellectual property and structures, while inventories were revised down. Since the economic recovery started in mid-2009, real GDP has been growing at an average annual ra ...
... from the previous estimate of 0.7%. Most of the upward revision was due to consumer spending as well as business investment in intellectual property and structures, while inventories were revised down. Since the economic recovery started in mid-2009, real GDP has been growing at an average annual ra ...