It has been a long debate whether Fed Funds target interest rate (FFTR) has significant explanatory power on interest rates in other countries. In this paper, we analyze the effects of FFTR on Bank of England (BOE) bank rate and European Central Bank (ECB) key interest rate employing - the...

The paper applies fuzzy clustering techniques to developed and emerging economies in East Asia in order to arrive at an identification of potential subgroups of economies for monetary union. The statistical criteria employed are those suggested by the Optimal Currency Areas theory and the period...

The main focus of the present paper is to analyze the impacts of financial policy on inflation rates. The analysis depended on time series data and was divided into theoretical and applied analytical framework. An econometric model was utilized to reflect the relations between financial policy...

This paper examines the effects of monetary policy uncertainty (MPU) on China's banks' credit risks and China's macroeconomic fluctuations. By incorporating the stochastic volatility into the quantity-based monetary policy rule, we provide a specific measure for China's MPU through Bayesian MCMC...

Existing measures of core inflation ignore a part of ‘should be’ the core inflation. Exclusion based measures ‘exclude’ a part of persistent inflation inherently existing in the excluded part whereas filter based measures ‘filter-out’ the cyclical part also rather than the irregular...

This paper develops and estimates the quantity based Markov-switching(MS) monetary policy rule for China. The MS regression results show that China's monetary policy rule does exist regime changes, and the best fit is with a version that allows time variation both in disturbance variance and...

We analyze how the behavior of the Federal Open Market Committee changed after the statutory enforcement of transparency laws in 1993. To do this, we develop techniques to describe how language use changes over time. For a set of widely used vector space metrics, we demonstrate how to decompose...

This paper attempts to assess the feasibility of Malaysia to rejoin the monetary union with Singapore and Brunei which it left in 1973 in terms of the real convergence criteria suggested by optimum currency areas (OCA) theory and the nominal convergence criteria specified by the Maastricht...