Similar Search Results

Optimal Monetary Policy in a Currency Union with Interest Rate Spreads

Bhattarai, Saroj - 2015

inflation targeting policy of setting union-wide inflation to zero is never optimal. Second, the interactions lead to a trade … inefficiencies by mitigating the drop in output and inflation and the rise in relative consumption and prices. Such a policy response …

Persistent link: https://www.econbiz.de/10013035757

Output Growth and Monetary Policy Interaction in a Common Monetary Area : Forecasting with VEC Models in Namibia, Lesotho, South Africa and Swaziland, 1981-2004

Khamfula, Yohane - 2014

In this study, we empirically attempt to investigate output growth forecasts as a result of dynamic interplay between money supplies and output growths of Southern African Common Monetary Area (SACMA) countries using Vector Error Correction Models (VECM). In general, the results show that the...

Persistent link: https://www.econbiz.de/10014215457

Fiscal Policy and Macroeconomic Stability within a Monetary Union

Kirsanova, Tatiana; Vines, David; Wren-Lewis, Simon - 2005

there is a significant backward looking element in inflation behaviour. This cyclical instability can be mitigated if fiscal … policy in each member country reacts to inflation differences, but it can be aggravated if fiscal feedback on debt is too …

Persistent link: https://www.econbiz.de/10014064465

Monetary and Fiscal Policy in a Monetary Union under the Zero Lower Bound constraint

Flotho, Stefanie - Wirtschaftswissenschaftliche Fakultät, … - 2012

This paper explicitly models strategic interaction between two independent national fiscal authorities and a single central bank in a simple New Keynesian model of a monetary union. Monetary policy is constrained by the zero lower bound on nominal interest rates. Coordination of fiscal policies...

Persistent link: https://www.econbiz.de/10010602243

Structural reforms and the enlargement of monetary union

Hefeker, Carsten - 2003

The paper addresses the question what effects the enlargement of a monetary union will have on necessary structural reforms in the (low distortion) member countries and the (high distortion) candidate countries. While monetary union lowers reforms in the candidate countries, members of the...

Persistent link: https://www.econbiz.de/10011509539

Quantitative easing: A rationale and some evidence from Japan

Wieland, Volker - 2009

. Deflation subsided by 2005. As soon as inflation appeared to stabilize near a rate of zero, the Bank of Japan rapidly reduced …

Persistent link: https://www.econbiz.de/10010303752

China's exchange rate impasse and the weak U.S. dollar

McKinnon, Ronald; Schnabl, Gunther - 2008

inflation, particularly in the 1970s, and the choice of an exchange rate regime consistent with domestic monetary and fiscal … reminiscent of the global inflation generated by the weak dollar in the 1970s. …

Persistent link: https://www.econbiz.de/10010304732

Does Time Inconsistency Problem Apply For Turkish Monetary Policy?

Özlale, Ümit; Ozcan, Kivilcim Metin - 2005

. After deriving the restrictions that the Barro and Gordon model imposes on a time series model for inflation and output, we … show that the time inconsistency problem can explain both the short-run and the long-run behaviour of inflation and output …

Persistent link: https://www.econbiz.de/10010322146

Output and inflation in models of the business cycle with nominal rigidities: Some counterfactual evidence

Páez-Farrell, Juan - 2006

This paper examines the relationship between cyclical output and inflation in models commonly used for monetary policy … finding is that these models imply a strong negative relationship between inflation and output, a result that is at odds with …

Persistent link: https://www.econbiz.de/10010322802

Does excessive sovereign debt really hurt growth? A critique of This time is different, by Reinhart and Rogoff

Nersisyan, Yeva; Wray, L. Randall - 2010

depress growth. There are other arguments related to more immediate effects of debt on inflation and national solvency …

Persistent link: https://www.econbiz.de/10010333044