Remarks at The Spread between Primary and Secondary Mortgage Rates: Recent Trends and Prospects Workshop, New York City.

Remarks by Eric S. Rosengren, President and Chief Executive Officer, Federal Reserve Bank of Boston, at The Spread between Primary and Secondary Mortgage Rates: Recent Trends and Prospects workshop, New York, New York, December 3, 2012.

Given the frequency of price changes, the real effects of a monetary shock are smaller if adjusting firms are disproportionately likely to be ones with prices set before the shock. This selection effect is important in a large class of sticky-price models with time-dependent price adjustment. We...

The Taylor curve allows the description of the compromise relationship between the variability of the inflation ratio and the dynamics of production, from our study; it can be observed that the value of the inflation quotient decreases with the growth of the weight of production rise. The...

Against the backdrop of the global economic crisis, this paper reviews the recent application of monetary and exchange rate policies for a group of Pacific island countries that have their own currencies. These countries are Papua New Guinea, Fiji, Solomon Islands, Samoa, Tonga and Vanuatu.

This paper aims to make a contribution to modeling monetary rules in open developing economies, in a context in which international capital flows are a force that has a decisive influence on the sustainable combination of the real exchange rate (RER) and the inflation rate. The intended...

The two episodes of food price surges in 2007 and 2011 have been particularly challenging for developing and emerging economies' central banks and have raised the question of how monetary authorities should react to such external relative price shocks. We develop a new-keynesian small...

Progress on the question of whether policymakers should respond directly to financial variables requires a realistic economic model that captures the links between asset prices, credit expansion, and real economic activity. Standard DSGE models with fully-rational expectations have difficulty...

This paper examines whether government ideology has influenced monetary policy in OECD countries. We use quarterly data in the 1980.1–2005.4 period and exclude EMU countries. Our Taylor-rule specification focuses on the interactions of a new time-variant index of central bank independence with...