DP2009/11 A cobweb model of financial stability in New Zealand
... The purpose of the cobweb model is to give an indication of the risk that one or more major New Zealand financial institutions experience a shock of sufficient magnitude to make failure a realistic possibility in the absence of official support. While in theory this could be achieved through a singl ...
... The purpose of the cobweb model is to give an indication of the risk that one or more major New Zealand financial institutions experience a shock of sufficient magnitude to make failure a realistic possibility in the absence of official support. While in theory this could be achieved through a singl ...
Assessing financial stability in Poland Grzegorz Bielicki
... Financial system is heavily bank-orientated however other types of financial institutions develop strongly since the end of the 1990s. Banks assets cover almost 75% of total assets Insurance companies are second player in the market Pension funds are growing very rapidly, stimulated by the soc ...
... Financial system is heavily bank-orientated however other types of financial institutions develop strongly since the end of the 1990s. Banks assets cover almost 75% of total assets Insurance companies are second player in the market Pension funds are growing very rapidly, stimulated by the soc ...
foreign exchange risk and diversification
... • Portfolio investors should allocate shares in their portfolios to countries’ assets as: - a decreasing function of the asset’s risk, and - an increasing function of its expected rate of return (risk premium). • Valuation effect: a 1% increase in supply of $ assets (whether in the form of money or ...
... • Portfolio investors should allocate shares in their portfolios to countries’ assets as: - a decreasing function of the asset’s risk, and - an increasing function of its expected rate of return (risk premium). • Valuation effect: a 1% increase in supply of $ assets (whether in the form of money or ...
Chapter 9
... • Until recently, most nations limited the movement of financial flows related financial account transactions across their borders – The European Union liberalized financial flows between member countries only in 1993 – However, current account transactions were less heavily regulated ...
... • Until recently, most nations limited the movement of financial flows related financial account transactions across their borders – The European Union liberalized financial flows between member countries only in 1993 – However, current account transactions were less heavily regulated ...
Colombian Issuance of Local Currency Bond in the Global Market
... The Risks • Some of those problems were improved but there are many others that remain – Volatility of TES (limited historical information) – Construction of the VAR model – Stress Testing for a sustained decrease in prices and no buyers – Disclosure of derivative positions – Disclosure of risk in ...
... The Risks • Some of those problems were improved but there are many others that remain – Volatility of TES (limited historical information) – Construction of the VAR model – Stress Testing for a sustained decrease in prices and no buyers – Disclosure of derivative positions – Disclosure of risk in ...
Cycles: economic, ideas (paradigms), policies
... supply of saving in the global economy7. Such a statement is well substantiated if one takes into account not only the savings glut (Bernanke 2005) in the global economy following past decades’ development in China (where savings account for almost half of household income) and Asians and East Europ ...
... supply of saving in the global economy7. Such a statement is well substantiated if one takes into account not only the savings glut (Bernanke 2005) in the global economy following past decades’ development in China (where savings account for almost half of household income) and Asians and East Europ ...
An Overview of Personal Finance
... An Overview of Personal Finance • The Importance of Personal Finance – Slow Growth in Personal Income • The average annual growth rate in the US is from 2 - 3% per year. • This makes saving and investing especially important ...
... An Overview of Personal Finance • The Importance of Personal Finance – Slow Growth in Personal Income • The average annual growth rate in the US is from 2 - 3% per year. • This makes saving and investing especially important ...
Menendez FY 14 Appropriations Request Letter
... To date, the CDFI Fund has certified more than 999 CDFIs to work in low-wealth communities in all 50 states and the District of Columbia. In addition to overseeing CDFI certification, the CDFI Fund administers a range of innovative programs designed to strengthen the ability of CDFIs to provide fina ...
... To date, the CDFI Fund has certified more than 999 CDFIs to work in low-wealth communities in all 50 states and the District of Columbia. In addition to overseeing CDFI certification, the CDFI Fund administers a range of innovative programs designed to strengthen the ability of CDFIs to provide fina ...
The Economic Crisis and Contemporary Capitalism Prabhat Patnaik
... Prabhat Patnaik The current economic crisis, which originated in the United States, is commonly explained as resulting from financial deregulation in the U.S., in particular the repeal of the Glass-Steagall Act that had erected a Chinese wall between ordinary banking and investment banking. Deregula ...
... Prabhat Patnaik The current economic crisis, which originated in the United States, is commonly explained as resulting from financial deregulation in the U.S., in particular the repeal of the Glass-Steagall Act that had erected a Chinese wall between ordinary banking and investment banking. Deregula ...
PDF Download
... The key issue here is the balance between incentives and insurance in the design of a social safety net. The ultimate reason for such arrangements is the insurance they provide for individuals. However, such insurance may distort incentives, and there is thus a non-trivial question of how to strike ...
... The key issue here is the balance between incentives and insurance in the design of a social safety net. The ultimate reason for such arrangements is the insurance they provide for individuals. However, such insurance may distort incentives, and there is thus a non-trivial question of how to strike ...
Market Risk Guidance Notes - Reserve Bank of New Zealand
... This allocation of core RIRP balances represents an industry average treatment. While individual banks may have different assumptions about the repricing behaviour of these instruments, it is important that all banks allocate their core RIRP's across time bands in the manner outlined above so that a ...
... This allocation of core RIRP balances represents an industry average treatment. While individual banks may have different assumptions about the repricing behaviour of these instruments, it is important that all banks allocate their core RIRP's across time bands in the manner outlined above so that a ...
Globalization
... A group of economist (see Gene Grossman and RossiHansberg, 2006 and the presentation by Richard Baldwin, 2006)) have introduced the idea that with outsourcing globalization has entered a new phase. The idea is that in the first phase globalization has been characterized by a first unbundling: end of ...
... A group of economist (see Gene Grossman and RossiHansberg, 2006 and the presentation by Richard Baldwin, 2006)) have introduced the idea that with outsourcing globalization has entered a new phase. The idea is that in the first phase globalization has been characterized by a first unbundling: end of ...
Financial Deepening trade openess and growth
... are endogenous to an economy there is a question of how greater trade integration affects the state of financial development itself . Theoretically the question has not been much explored. An exception is Blackburn and Hung (1998): they employ the well-known endogenous growth model of Romer (1990) ...
... are endogenous to an economy there is a question of how greater trade integration affects the state of financial development itself . Theoretically the question has not been much explored. An exception is Blackburn and Hung (1998): they employ the well-known endogenous growth model of Romer (1990) ...
Interest Rates and the Money Market
... help ensure that inflation, over time, is at the rate most consistent with its dual mandate, the Committee expects to maintain a highly accommodative stance for monetary policy. In particular, the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent and cur ...
... help ensure that inflation, over time, is at the rate most consistent with its dual mandate, the Committee expects to maintain a highly accommodative stance for monetary policy. In particular, the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent and cur ...
instructional objectives
... B. Why do governments enact trade barriers? 1. They don’t understand the benefits from international trade and see only the damage in certain industries that can’t compete successfully with imports. 2. Political considerations are important because consumers don’t see the effects of a tariff or quot ...
... B. Why do governments enact trade barriers? 1. They don’t understand the benefits from international trade and see only the damage in certain industries that can’t compete successfully with imports. 2. Political considerations are important because consumers don’t see the effects of a tariff or quot ...
NBER WORKING PAPER SERIES RESOLVING THE GLOBAL IMBALANCE: Martin S. Feldstein
... of American corporations on the stock market or bought entire businesses (like Daimler buying Chrysler and Deutsche Bank buying Bankers Trust). Private funds came to the United States in this way because they expected to receive returns that outweighed the risks of cross-border investments. The situ ...
... of American corporations on the stock market or bought entire businesses (like Daimler buying Chrysler and Deutsche Bank buying Bankers Trust). Private funds came to the United States in this way because they expected to receive returns that outweighed the risks of cross-border investments. The situ ...
67051073I_en.pdf
... Foreign capital, which went mainly to the export mining sector and public utilities, once again occupied a leading place in the economy, through the acquisition of many of the privatized State enterprises.13 The closure of almost the entire State development banking system, which played an important ...
... Foreign capital, which went mainly to the export mining sector and public utilities, once again occupied a leading place in the economy, through the acquisition of many of the privatized State enterprises.13 The closure of almost the entire State development banking system, which played an important ...
The Use of Financial Inclusion Data Country Case Study
... Bangladesh is a developing country in South Asia with a population of about 155 million and a GDP of USD 115.60 billion in 2012. In spite of global financial volatility Bangladesh has achieved commendable success in maintaining a steady growth rate of around 6% per annum in the last decade and reduc ...
... Bangladesh is a developing country in South Asia with a population of about 155 million and a GDP of USD 115.60 billion in 2012. In spite of global financial volatility Bangladesh has achieved commendable success in maintaining a steady growth rate of around 6% per annum in the last decade and reduc ...
International Trade and Echange Rates
... of trade between primary products and manufactured goods tend to deteriorate over time. This limits the benefits of developing economies whose main exports are primary commodities eg coffee, bananas and metals. Explain the development trap. The Presbisch-Singer hypothesis suggests that by specialisi ...
... of trade between primary products and manufactured goods tend to deteriorate over time. This limits the benefits of developing economies whose main exports are primary commodities eg coffee, bananas and metals. Explain the development trap. The Presbisch-Singer hypothesis suggests that by specialisi ...
15 March 2017 ThinkSmart Limited (“ThinkSmart” or “the Company
... 1. Reporting entity ThinkSmart Limited (the “Company”) is a company domiciled in Australia. The interim financial report of the Company as at and for the six months ended 31 December 2016 comprises the Company and its subsidiaries (together referred to as the “consolidated entity” or “the Group”). ...
... 1. Reporting entity ThinkSmart Limited (the “Company”) is a company domiciled in Australia. The interim financial report of the Company as at and for the six months ended 31 December 2016 comprises the Company and its subsidiaries (together referred to as the “consolidated entity” or “the Group”). ...
the full report
... non-market environmental, social and governance issues into project design, selection and implementation. It is certainly the case that many countries still need to mobilize more domestic public resources for the SDGs and climate action. There are, however, well-understood limits to public financing ...
... non-market environmental, social and governance issues into project design, selection and implementation. It is certainly the case that many countries still need to mobilize more domestic public resources for the SDGs and climate action. There are, however, well-understood limits to public financing ...
Scott Brown`s Weekly Market Monitor
... Frameworks for the Future.” In addressing the financial crisis and ensuing recovery, the Fed and other central banks have pulled out all the stops. This will be a chance to look back at the various elements (communications strategies, large-scale asset purchases, negative policy rates, etc.) with an ...
... Frameworks for the Future.” In addressing the financial crisis and ensuing recovery, the Fed and other central banks have pulled out all the stops. This will be a chance to look back at the various elements (communications strategies, large-scale asset purchases, negative policy rates, etc.) with an ...
Ib Modl-4 - Amity
... FDI refers more specifically to the investment of foreign assets into domestic goods and services. FDIs are generally favored over equity investments which tend to flow out of an economy at the first sign of trouble which leaves countries more susceptible to shocks in their money markets. Foreign di ...
... FDI refers more specifically to the investment of foreign assets into domestic goods and services. FDIs are generally favored over equity investments which tend to flow out of an economy at the first sign of trouble which leaves countries more susceptible to shocks in their money markets. Foreign di ...
Download paper (PDF)
... this noteworthy is not what is said—much of the economics profession had long come to this view2— but who was saying it. Indeed, it would have been truly striking if they had come to any other conclusion. The report should be read seriously by past and present policy-makers—including those in the US ...
... this noteworthy is not what is said—much of the economics profession had long come to this view2— but who was saying it. Indeed, it would have been truly striking if they had come to any other conclusion. The report should be read seriously by past and present policy-makers—including those in the US ...
Global financial system
The global financial system is the worldwide framework of legal agreements, institutions, and both formal and informal economic actors that together facilitate international flows of financial capital for purposes of investment and trade financing. Since emerging in the late 19th century during the first modern wave of economic globalization, its evolution is marked by the establishment of central banks, multilateral treaties, and intergovernmental organizations aimed at improving the transparency, regulation, and effectiveness of international markets. In the late 1800s, world migration and communication technology facilitated unprecedented growth in international trade and investment. At the onset of World War I, trade contracted as foreign exchange markets became paralyzed by money market illiquidity. Countries sought to defend against external shocks with protectionist policies and trade virtually halted by 1933, worsening the effects of the global Great Depression until a series of reciprocal trade agreements slowly reduced tariffs worldwide. Efforts to revamp the international monetary system after World War II improved exchange rate stability, fostering record growth in global finance.A series of currency devaluations and oil crises in the 1970s led most countries to float their currencies. The world economy became increasingly financially integrated in the 1980s and 1990s due to capital account liberalization and financial deregulation. A series of financial crises in Europe, Asia, and Latin America followed with contagious effects due to greater exposure to volatile capital flows. The global financial crisis, which originated in the United States in 2007, quickly propagated among other nations and is recognized as the catalyst for the worldwide Great Recession. A market adjustment to Greece's noncompliance with its monetary union in 2009 ignited a sovereign debt crisis among European nations known as the Eurozone crisis.A country's decision to operate an open economy and globalize its financial capital carries monetary implications captured by the balance of payments. It also renders exposure to risks in international finance, such as political deterioration, regulatory changes, foreign exchange controls, and legal uncertainties for property rights and investments. Both individuals and groups may participate in the global financial system. Consumers and international businesses undertake consumption, production, and investment. Governments and intergovernmental bodies act as purveyors of international trade, economic development, and crisis management. Regulatory bodies establish financial regulations and legal procedures, while independent bodies facilitate industry supervision. Research institutes and other associations analyze data, publish reports and policy briefs, and host public discourse on global financial affairs.While the global financial system is edging toward greater stability, governments must deal with differing regional or national needs. Some nations are trying to orderly discontinue unconventional monetary policies installed to cultivate recovery, while others are expanding their scope and scale. Emerging market policymakers face a challenge of precision as they must carefully institute sustainable macroeconomic policies during extraordinary market sensitivity without provoking investors to retreat their capital to stronger markets. Nations' inability to align interests and achieve international consensus on matters such as banking regulation has perpetuated the risk of future global financial catastrophes.