We investigate the differences in banks’ responses to monetary policy shocks across bank size, liquidity, and type, i.e., conventional versus Islamic, in Pakistan between 2002:II to 2010:I. We find that following a monetary contraction, small banks with liquid balance sheets cut their lending...

Rapid and comprehensive reduction in barriers to international trade has often been followed by a sharp deterioration in the current account. The macroeconomic counterpart of the deterioration has typically been a decline in private savings; no clear response pattern has been observed for...

Price controls often focus on commodities that are storable and can thus be used in intertemporal speculation. Second, opposition to dismantling of controls is often based on claims of low supply response, and greatly bolstered if a strong supply response fails to materialise. This is especially...

Many third world oil producers are encountering serious problems in building up a diversified export base, while West European oil and gas producers (Netherlands, United Kingdom) are suffering a decline in their traded goods (manufacturing) sector induced by real wage pressures. It is becoming...

I show that the irreversibility of dying coupled with gradual information acquisition over time on the likely arrival and eventual effectiveness of vaccines confers a real option value to lockdown strategies that delay the incidence of a pandemic.The case for lockdown strategies becomes stronger...