2 edition of Central bank behavior and the strategy of monetary policy found in the catalog.
May 1992.Includes bibliographical references (p. 54-58).Binghamton University Libraries copy bound with: Innovation, imitation, and intellectual property rights.
|Statement||National Bureau of Economic Research|
|Publishers||National Bureau of Economic Research|
|The Physical Object|
|Pagination||xvi, 75 p. :|
|Number of Pages||42|
|2||Working paper series (National Bureau of Economic Research) -- working paper no. 4082.|
|3||NBER working papers series -- working paper no. 4082|
nodata File Size: 9MB.
He takes up such issues as why some countries have more independent central banks than others and identifies reasons for the substantial cross country variation in seigniorage. " Exchange Rate Parity for Trade and Development--Theory, Tests, and Case Studies. These are Purchasing Power Parity PPPthe International Fischer Relation, Foreign Exchange Expectations Relation, and Interest Rate Parity Relation.
the change in the sign of the cost-push shock between period 1 and 2 makes the inflation gap under honored commitments greater compared to a shock sequence in which three consecutive positive cost-push shocks materialize. In the current format, one of the decisions is anticipating the other in a way that I don't think is effective.
After a policy deviation, the central bank may regain access to a commitment technology with a non-zero probability. Better information, and better trade relationships that are additional affects of a central bank, contribute to this as well. During the early 1980's, the Central Bank adopted monetary targeting as its monetary policy framework, and monetary aggregates became the key nominal anchor in the conduct of monetary policy. " School of Business, Howard University. They find that under such circumstances, policy rules may be enforceable if they are sufficiently close to the discretionary policy prescription.
Once inflation is high, interest rates fall, as commercial banks compete for people to take out loans at the best rates. 37 As such, it is expected that Central America will feel the effects of changes in the value of the dollar compared to other major currency. Related to inflation is the subject of interest rates.
The introduction contains a modular guide for reading and teaching the material. argues that any form of forward guidance is in part interpreted as a policy commitment with some, but limited commitment. "German PPI Rises, US Inflations Rises, EU May Start Axing subsidies.
This finding previews the result that under limited credibility it is both possible and optimal to commit to future policy responses when facing a current period cost-push shock.