• Study Resource
  • Explore
    • Arts & Humanities
    • Business
    • Engineering & Technology
    • Foreign Language
    • History
    • Math
    • Science
    • Social Science

    Top subcategories

    • Advanced Math
    • Algebra
    • Basic Math
    • Calculus
    • Geometry
    • Linear Algebra
    • Pre-Algebra
    • Pre-Calculus
    • Statistics And Probability
    • Trigonometry
    • other →

    Top subcategories

    • Astronomy
    • Astrophysics
    • Biology
    • Chemistry
    • Earth Science
    • Environmental Science
    • Health Science
    • Physics
    • other →

    Top subcategories

    • Anthropology
    • Law
    • Political Science
    • Psychology
    • Sociology
    • other →

    Top subcategories

    • Accounting
    • Economics
    • Finance
    • Management
    • other →

    Top subcategories

    • Aerospace Engineering
    • Bioengineering
    • Chemical Engineering
    • Civil Engineering
    • Computer Science
    • Electrical Engineering
    • Industrial Engineering
    • Mechanical Engineering
    • Web Design
    • other →

    Top subcategories

    • Architecture
    • Communications
    • English
    • Gender Studies
    • Music
    • Performing Arts
    • Philosophy
    • Religious Studies
    • Writing
    • other →

    Top subcategories

    • Ancient History
    • European History
    • US History
    • World History
    • other →

    Top subcategories

    • Croatian
    • Czech
    • Finnish
    • Greek
    • Hindi
    • Japanese
    • Korean
    • Persian
    • Swedish
    • Turkish
    • other →
 
Profile Documents Logout
Upload
Sample: EBC*L Exam Level A KNOWLEDGE QUESTIONS (4 points
Sample: EBC*L Exam Level A KNOWLEDGE QUESTIONS (4 points

First Quarter 2016 Newsletter Commentary
First Quarter 2016 Newsletter Commentary

... December 2008, it lasted only 28 months, cut short in March 2011 before value could reach its full potential, as China toned down its fiscal stimulus and interest rates plunged to zero, rendering banks unable to earn an adequate return in spite of improvements in credit quality and capital levels. C ...
Chapter 29
Chapter 29

... PRECAUTIONS FOR USING CREDIT ...
Revision of the macroeconomic projections
Revision of the macroeconomic projections

... Credit support to the private sector proceeded in 2015, albeit at a slightly slower pace compared to the forecast Slower than expected growth in deposits, amidst heightened foreign and domestic risks The downsize of the sources of financing, and the unfavorable balance of risks resulted in lower cre ...
Clinton Vs. Trump
Clinton Vs. Trump

... or mortgage for more than a month if they lost their job(s). In January this year, Aviva published research showing that the UK average household debt – excluding mortgages – stands at £13,520. That same study shows that the average savings pot is less than two months of the average salary, at £3,15 ...
Principles of Managerial Finance by Lawrence Gitman
Principles of Managerial Finance by Lawrence Gitman

... b) If the firm wishes to minimize risk, which alternative do you recommend? Why? a) What is the coefficient of variation for alternative A? (round to three decimal) What is the coefficient of variation for alternative B? (round to three decimal) What is the coefficient of variation for alternative C ...
Download attachment
Download attachment

... the negative effects of the crisis on the export of goods and services; on real income growth and on remittances. The decline in the latter will likely influence the domestic asset portfolios of banks. With respect to capital inflows, he expressed concern over the widening of sovereign spreads due t ...
An Overview of the Crisis: Causes, Consequences
An Overview of the Crisis: Causes, Consequences

... default losses first. Then as more losses were accumulated these would exhaust the lowest tranche and start to be allocated to the next most senior one and so on up the seniority chain. There would have to be a large amount of losses before the most senior ones would bear any losses so they were reg ...
chap008-- - MCST-CS
chap008-- - MCST-CS

... take a long position on a security and then sell short the same or a similar security. This means that one will profit (or at least avoid a loss) no matter which direction the security's price takes. Hedging may reduce risk, but it is important to note that ...
Statement of Cash Flows Statement of Cash Flows
Statement of Cash Flows Statement of Cash Flows

FM11 Ch 19 Instructors Manual
FM11 Ch 19 Instructors Manual

... proceeds to repurchase one of its existing high coupon rate debt issues. Often these are callable issues, which means the company can purchase the debt at a lower-thanmarket price. Project financings are arrangements used to finance mainly large capital projects such as energy explorations, oil tank ...
chapter outline
chapter outline

... The important point to make here is that with a government budget deficit, public saving is negative and the public sector is thus “dissaving.” To make up for this shortfall, it must go to the loanable funds market and borrow the money. This will reduce the supply of loanable funds available for inv ...
1st Half 2016 Newsletter - Harpswell Capital Advisors
1st Half 2016 Newsletter - Harpswell Capital Advisors

Exchange-rate and capital-account management for developing countries
Exchange-rate and capital-account management for developing countries

... distinguish between desirable und undesirable capital inflows and the possibility of international investors to circumvent such controls by linking capital account transactions with current account transactions. It is also argued that such controls are difficult to implement and that developing coun ...
Update of the Fifth Edition of the IMF’s Balance of
Update of the Fifth Edition of the IMF’s Balance of

... Financial account transactions appear in the balance of payments and, because of their effect on the stock of assets and liabilities, also in the integrated IIP statement. The sum of the balances on the current and capital accounts represents the net lending (surplus) or net borrowing (deficit) by t ...
Thailand’s Economic Crisis in 1997
Thailand’s Economic Crisis in 1997

... borrowing by private sector (both banks and non-bank), mainly short-term debts • Investment boom, and speculation in real estate and stock market ...
Slide 1
Slide 1

...  Assume (and plan accordingly) that the crisis is a mean reverting event and that we will return to a pre-crisis pattern of growth, capital costs, trade and capital flows in the global economy.  Abandon the global economy market driven growth strategy because of the advanced countries financial se ...
The global financial crisis and developing countries
The global financial crisis and developing countries

Deposit Insurance Coverage
Deposit Insurance Coverage

... the security of deposits among retail investors and thereby largely avoid possible bank runs. These can pose a significant threat to the stability of the financial system because they bear a contagious element: the panic caused by the failure of one bank among its customers can easily spill over to ...
Asset Allocation Views
Asset Allocation Views

... chronic deficiency of demand such that it requires lower and lower interest rates to stimulate activity. Clearly, these concerns have a significant bearing on bond markets, but are they justified? The secular stagnation theory fits many of the facts, as global growth has been disappointingly weak de ...
Martin Feldstein Housing, Housing Finance, and Monetary Policy
Martin Feldstein Housing, Housing Finance, and Monetary Policy

... securitization induced a lowering of standards by lenders who did not hold the mortgages they created. Mortgage brokers came to replace banks and thrifts as the primary mortgage originators. All of this had been developing since the 1990s but these developments contributed to mortgage problems when ...
UNITED PARCEL SERVICE
UNITED PARCEL SERVICE

... they are subject to the political, geographic, and economic risks attendant to doing business with suppliers located in, and supplies originating from, those areas. If they are unable to obtain adequate crude oil volumes or are able to obtain such volumes only at unfavorable prices, their results of ...
Slide 1
Slide 1

... towards $0.95 U.S. by end of 2007 and towards $1.00 U.S. by end of 2008  Canadian dollar will weaken against the euro  Large U.S. budget and trade deficits will eventually take its toll on the U.S dollar  The U.S. will become increasingly protectionist with Democratic Congress and likely Democrat ...
The 1997 Asian Financial Crisis
The 1997 Asian Financial Crisis

... • Aims to counter the explanation that crisis was caused by sudden shifts in market expectations and confidence – a panic by investors, somewhat reinforced by policy responses • Rather, fundamental imbalances triggered the crisis ...
Lecture 3
Lecture 3

... stable purchasing power of the U.S. Dollar relative to foreign currencies This is expressed in stable exchange rates. The Fed may seek to weaken the dollar during economic downturns to increase exports giving U.S. firms a boost in demand ...
< 1 ... 170 171 172 173 174 175 176 177 178 ... 239 >

Global saving glut

Global saving glut (also global savings glut, GSG, cash hoarding, dead cash, dead money, glut of excess intended saving, shortfall of investment intentions), describes a situation in which desired saving exceeds desired investment. By 2005 Ben Bernanke, chairman of the Federal Reserve, the central bank of the United States, expressed concern about the ""significant increase in the global supply of saving"" and its implications for monetary policies, particularly in the United States. Although Bernanke's analyses focused on events in 2003 to 2007 that led to the 2007–2009 financial crisis, regarding GSG countries and the United States, excessive saving by the non-financial corporate sector (NFCS) is an ongoing phenomenon, affecting many countries. Bernanke's ""celebrated (if sometimes disputed)"" global saving glut (GSG) hypothesis argued that increased capital inflows to the United States from GSG countries were an important reason that U.S. longer-term interest rates from 2003 to 2007 were lower than expected.Alan Greenspan testifying at the Financial Crisis Inquiry Commission in 2010 explained, ""Whether it was a glut of excess intended saving, or a shortfall of investment intentions, the result was the same: a fall in global real long-term interest rates and their associated capitalization rates. Asset prices, particularly house prices, in nearly two dozen countries accordingly moved dramatically higher. U.S. house price gains were high by historical standards but no more than average compared to other countries.""An 2007 Organisation for Economic Co-operation and Development (OECD) report noted that the ""excess of gross saving over fixed investment (i.e. net lending) in the ""aggregate OECD corporate sector"" had been unusually large since 2002. In a 2006 International Monetary Fund report, it was observed that, ""since the bursting of the equity marketbubble in the early 2000s, companies in many industrial countries have moved from their traditional position of borrowing funds to finance their capital expenditures to running financial surpluses that they are now lending to other sectors of the economy."" David Wessell in a Wall Street Journal article observed that, ""[c]ompanies, which normally borrow other folks’ savings in order to invest, have turned thrifty. Even companies enjoying strong profits and cash flow are building cash hoards, reducing debt and buying back their own shares—instead of making investment bets."" Although the hypothesis of excess cash holdings or cash hoarding has been used by the Organisation for Economic Co-operation and Development (OECD), the International Monetary Fund and the media Wall Street Journal, Forbes, Canadian Broadcasting Corporation, the concept itself has been disputed and criticized as conceptually flawed in articles and reports published by the Hoover Institute, the Max-Planck Institute and the CATO Institute among others. Ben Bernanke used the phrase ""global savings glut"" in 2005 linking it to the U.S. current account deficit.In their July 2012 report Standard and Poors described the ""fragile equilibrium that currently exists in the global corporate credit landscape."" U.S. nonfinancial corporate sector NFCS firms continued to hoard a ""record amount of cash"" with large profitable investment-grade companies and technology and health care industries (with significant amounts of cash overseas), holding most of the wealth.By January 2013, NFCS firms in Europe had over 1 trillion euros of cash on their balance sheets, a record high in nominal terms.
  • studyres.com © 2025
  • DMCA
  • Privacy
  • Terms
  • Report