Dynamics Of Monetary Fiscal Policy

Author : Michael Carlberg
Publisher : Springer Science & Business Media
Page : 196 pages
File Size : 40,5 Mb
Release : 2012-12-06
Category : Business & Economics
ISBN : 9783642476891

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Monetary and Fiscal Dynamics by Michael Carlberg Pdf

The analysis will be conducted within an IS-LM model augmen- ted by the dynamics of money wages, private capital and public debt. A macroeconomic shock induces an extended process of adjustment that is characterized by unemployment. This in turn requires a dynamic path of monetary and fiscal policy: As a response to the shock, the central bank continuouslyadapts the quantity of money so as to keep up full employment all the time. And the government continuously accommodates its purchases of goods and services. Can this be sustained? Or will public debt tend to explode, thereby driving the stock of capial down to zero?

Author : International Monetary Fund
Publisher : International Monetary Fund
Page : 33 pages
File Size : 47,9 Mb
Release : 1989-01-01
Category : Business & Economics
ISBN : 9781451931235

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Dynamics of Devaluation and "Equivalent" Fiscal Policies for a Small Open Economy by International Monetary Fund Pdf

In pursuing a steady-state reserve target, policymakers in small open economies can resort to devaluation or to temporary increases in public saving. This paper contrasts the dynamic implications of these alternative policies in a model with optimizing agents who possess perfect foresight. In general, the private sector cannot be insulated from the effects of the government’s reserve-accumulation policies. The dynamic effects of devaluation depend on the fiscal policy rule in effect. In contrast to devaluation, the “equivalent” fiscal policies imply discontinuities in private consumption and temporary tax increases may cause key macroeconomic variables to overshoot their steady-state values.

Author : Volker Böhm
Publisher : Springer
Page : 423 pages
File Size : 50,6 Mb
Release : 2017-10-30
Category : Business & Economics
ISBN : 9783319601496

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Macroeconomic Theory by Volker Böhm Pdf

This textbook offers a unique approach to macroeconomic theory built on microeconomic foundations of monetary macroeconomics within a unified framework of an intertemporal general equilibrium model extended to a sequential and dynamic analysis. It investigates the implications of expectations and of stationary fiscal policies on allocations, on the quantity of money, and on the dynamic evolution of the economy with and without noise. The text contrasts and compares the two main competing approaches in macroeconomics within the same intertemporal model of a closed monetary economy: the one postulating full price flexibility to guarantee equilibrium in all markets at all times under perfect foresight or rational expectations, versus the so called disequilibrium approach where trading occurs at non- market-clearing prices and wages when these adjust sluggishly from period to period in response to market disequilibrium signals.

Author : D. M. Mithani
Publisher : Unknown
Page : 392 pages
File Size : 48,8 Mb
Release : 1993
Category : Fiscal policy
ISBN : UOM:39015033986889

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Dynamics of Monetary-fiscal Policy by D. M. Mithani Pdf

Author : Torsten Persson,Guido Enrico Tabellini
Publisher : MIT Press
Page : 476 pages
File Size : 41,8 Mb
Release : 1994
Category : Business & Economics
ISBN : 0262660881

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Monetary and Fiscal Policy: Politics by Torsten Persson,Guido Enrico Tabellini Pdf

This is the first of two volumes on a theory of macroeconomic policy that analyzes which policies are credible or politically feasible. Instead of looking at policy as an end product, the contributors approach policy as an ongoing process of revised goals, changes in tactics, and political pressures. They consider what kinds of incentives within different institutional settings, drive policy-making and the behaviour of policy-makers. The approach explains why certain monetary and fiscal policies are implemented, and provides insights into situations that occur repeatedly in macroeconomic policy, such as the bias toward government deficits, partisan competition and central bank independence.

Author : M. Carlberg
Publisher : Unknown
Page : 128 pages
File Size : 45,7 Mb
Release : 1992
Category : Electronic
ISBN : 3540914234

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Monetary and Fiscal Dynamics by M. Carlberg Pdf

Author : Mr.Calixte Ahokpossi,Pilar Garcia Martinez,Laurent Kemoe
Publisher : International Monetary Fund
Page : 31 pages
File Size : 50,6 Mb
Release : 2016-05-23
Category : Business & Economics
ISBN : 9781484365465

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Monetary and Fiscal Policies and the Dynamics of the Yield Curve in Morocco by Mr.Calixte Ahokpossi,Pilar Garcia Martinez,Laurent Kemoe Pdf

We estimate the latent factors that underlie the dynamics of the sovereign bond yield curve in Morocco during 2004–14 based on the Dynamic Nelson-Siegel model. On this basis, we explore the interaction between macroeconomic variables and the yield curve, which is of direct relevance to macroeconomic policy-making. In Morocco’s context, we find that tighter monetary policy increases short-end maturities, and that the impact is small and short-lived. Economic activity is also briefly but significantly impacted, suggesting that even under a pegged exchange rate, monetary policy autonomy and effectiveness can be increased through greater central bank independence. Fiscal improvements significantly lower yield levels. Policy conclusions are that improvement in the fiscal and monetary policy frameworks, as well as greater financial sector development and inclusion, could benefit Morocco and strengthen the transmission mechanisms and effectiveness of macroeconomic policies.

Author : Joseph E.J.K Plasmans,Jacob Engwerda,Bas van Aarle,Giovanni di Bartolomeo,Tomasz Michalak
Publisher : Springer Science & Business Media
Page : 324 pages
File Size : 40,6 Mb
Release : 2006-04-25
Category : Business & Economics
ISBN : 9780387279312

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Dynamic Modeling of Monetary and Fiscal Cooperation Among Nations by Joseph E.J.K Plasmans,Jacob Engwerda,Bas van Aarle,Giovanni di Bartolomeo,Tomasz Michalak Pdf

Dynamic Modeling of Monetary and Fiscal Cooperation Among Nations analyzes coordination of monetary and fiscal stabilization policies between countries and currency areas using a dynamic game approach. The first four chapters introduce the reader to the dynamics of fiscal and monetary policy cooperation. Issues covered include: fiscal coordination, fiscal stringency requirements, structural and bargaining power asymmetries and the design of monetary and fiscal policymaking in a monetary union. In the four last chapters multiple-player settings with aspects of fiscal and/or monetary coordination are analyzed using the endogenous coalition formation approach. The analysis is focused on shock and model asymmetries and issues of multi-country coordination in the presence of (possibly many) monetary unions.

Author : Michael Carlberg
Publisher : Springer Science & Business Media
Page : 298 pages
File Size : 40,9 Mb
Release : 2006-03-14
Category : Business & Economics
ISBN : 9783540298007

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Monetary and Fiscal Policies in the Euro Area by Michael Carlberg Pdf

This book studies the interactions between monetary and fiscal poUcies in the euro area. It carefully discusses the process of policy competition and the structure of policy cooperation. As to policy competition, the focus is on competition between the European central bank, the American central bank, the German government, and the French government. As to policy cooperation, the focus is on the same institutions. These are higher-dimensional issues. The pohcy targets are price stability and full employment. The policy makers follow co- turkey or gradualist strategies. The policy decisions are taken sequentially or simultaneously. Monetary and fiscal policies have spillover effects. Special features of this book are numerical simulations of policy competition and numerical solutions to policy cooperation. The present book is part of a larger research project on European Monetary Union, see the references at the back of the book. Some parts of this project were presented at the World Congress of the International Economic Association. Other parts were presented at the International Conference on Macroeconomic Analysis, at the International Institute of Public Finance, at the Macro Study Group of the German Economic Association, at the Annual Meeting of the Austrian Economic Association, at the Gottingen Workshop on International Economics, at the Halle Workshop on Monetary Economics, at the Research Seminar on Macroeconomics in Freiburg, and at the Passau Workshop on International Economics.

Author : Jordi Galí,Mark Gertler
Publisher : University of Chicago Press
Page : 663 pages
File Size : 50,9 Mb
Release : 2010-03-15
Category : Business & Economics
ISBN : 9780226278872

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International Dimensions of Monetary Policy by Jordi Galí,Mark Gertler Pdf

United States monetary policy has traditionally been modeled under the assumption that the domestic economy is immune to international factors and exogenous shocks. Such an assumption is increasingly unrealistic in the age of integrated capital markets, tightened links between national economies, and reduced trading costs. International Dimensions of Monetary Policy brings together fresh research to address the repercussions of the continuing evolution toward globalization for the conduct of monetary policy. In this comprehensive book, the authors examine the real and potential effects of increased openness and exposure to international economic dynamics from a variety of perspectives. Their findings reveal that central banks continue to influence decisively domestic economic outcomes—even inflation—suggesting that international factors may have a limited role in national performance. International Dimensions of Monetary Policy will lead the way in analyzing monetary policy measures in complex economies.

Author : Jean-Pascal Bénassy
Publisher : MIT Press
Page : 215 pages
File Size : 52,6 Mb
Release : 2007
Category : Equilibrium (Economics)
ISBN : 9780262026130

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Money, Interest, and Policy by Jean-Pascal Bénassy Pdf

An important recent advance in macroeconomics is the development of dynamic stochastic general equilibrium (DSGE) macromodels. The use of DSGE models to study monetary policy, however, has led to paradoxical and puzzling results on a number of central monetary issues including price determinacy and liquidity effects. In Money, Interest, and Policy, Jean-Pascal Benassy argues that moving from the standard DSGE models - which he calls "Ricardian" because they have the famous "Ricardian equivalence" property-to another, "non-Ricardian" model would resolve many of these issues. A Ricardian model represents a household as a homogeneous family of infinitely lived individuals, and Benassy demonstrates that a single modification-the assumption that new agents are born over time (which makes the model non-Ricardian)-can bridge the current gap between monetary intuitions and facts, on one hand, and rigorous modeling, on the other. After comparing Ricardian and non-Ricardian models, Benassy introduces a model that synthesizes the two approaches, incorporating both infinite lives and the birth of new agents. Using this model, he considers a number of issues in monetary policy, including liquidity effects, interest rate rules and price determinacy, global determinacy, the Taylor principle, and the fiscal theory of the price level. Finally, using a simple overlapping generations model, he analyzes optimal monetary and fiscal policies, with a special emphasis on optimal interest rate rules

Author : Carl Chiarella
Publisher : Unknown
Page : 25 pages
File Size : 46,9 Mb
Release : 1991
Category : Foreign exchange
ISBN : 0646077074

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Monetary and Fiscal Policy Under Nonlinear Exchange Rate Dynamics by Carl Chiarella Pdf

Author : Alan J. Auerbach
Publisher : Unknown
Page : 196 pages
File Size : 50,9 Mb
Release : 1988
Category : Electronic
ISBN : OCLC:1023887421

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Dynamic Fiscal Policy by Alan J. Auerbach Pdf

Author : Willi Semmler
Publisher : Routledge
Page : 274 pages
File Size : 40,5 Mb
Release : 2019-08-08
Category : Business & Economics
ISBN : 9781315288802

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Financial Dynamics and Business Cycles by Willi Semmler Pdf

As the 55th anniversary of the bank holiday of March 1933 approached, financial instability was a main topic in the financial press. Daily reports appeared of international debt crises, of the covert bankruptcy of deposit insurance, and of the near bankruptcy of one great financial institution after another. The great stock market crash of October 19 and 20, 1987, demonstrated that extreme instability can happen. It is generally asserted that the consequences of October 19th and 20th would have been disastrous if the Federal Reserve and Treasury interventions had not set things right. In 1933, financial markets in the United States and throughout the capitalist world collapsed. In the light of historical experience, the past 55 years are the anomaly. The papers collected in this volume come from various backgrounds and research paradigms. A common theme runs through these papers that makes the collection both interesting and important: The authors take seriously the obvious evidence that capitalist economies progress through time by lurching. Whether a particular study starts from household utility maximization or from the processes by which productive structures are reproduced and expanded, the authors are united in accepting the evidence that financial instability is a significant characteristic of modern capitalism.

Author : Blanca Moreno-Dodson
Publisher : World Bank Publications
Page : 286 pages
File Size : 54,7 Mb
Release : 2012-10
Category : Business & Economics
ISBN : 9780821396308

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Is Fiscal Policy the Answer? by Blanca Moreno-Dodson Pdf

Fiscal policy is an important instrument for maintaining and improving living standards. Such living standards can be viewed as an outcome of the interaction between the opportunities offered by society and the readiness and ability of each person to exploit them. Under certain circumstances, public finance can make an important contribution to the creation of opportunities within a given society by raising resources from the private sector through taxation or borrowing (domestic and external) and allocating those resources effectively and equitably in the form of public spending, including through public goods and transfers. The first chapters in this volume sketch out a framework that policy makers can use in adopting a more cohesive or integrated approach to the short- and long-term dimensions of fiscal policy. Here the traditional threefold rationale for fiscal policy proposed by Musgrave-stabilization, resource allocation, and distribution-continues to be useful. Other chapters in this volume take up some of the critical institutional challenges in implementing fiscal policy for longer-term growth and development. These chapters also look at the tools and approaches being developed to address these challenges. Improving the quality of public investment management is a particular priority in view of the recent evidence that as little as half of all public investment expenditure translates into productive capital stock. The last chapter in this volume is a case study of fiscal responses to the great recession in low-income Sub-Saharan Africa, looking at stabilization and the longer-run growth, as well as distributional aspects of such responses. The growing depth of domestic financial markets in many African countries rather unexpectedly is turning out to be a critical source of financing for fiscal policy responses.