NBER WORKING PAPER SERIES STRICT DOLLARIZATION AND ECONOMIC PERFORMANCE: AN EMPIRICAL INVESTIGATION
... give up their domestic currency, and adopt an advanced nation’s currency as legal tender. This policy option has received the generic name of “official dollarization,” even if the advanced country’s currency is other than the dollar. There is wide agreement among economists that countries that give ...
... give up their domestic currency, and adopt an advanced nation’s currency as legal tender. This policy option has received the generic name of “official dollarization,” even if the advanced country’s currency is other than the dollar. There is wide agreement among economists that countries that give ...
Weak Dollar, Strong Dollar: Causes and Consequences
... and lamented by foreign exporters and domestic consumers. Further, a sustained dollar depreciation could be expected to slow and then reverse the steady rise of the U.S. trade deficit. Also, a depreciating dollar tends to improve the U.S. net debt position by raising the value U.S. foreign assets. B ...
... and lamented by foreign exporters and domestic consumers. Further, a sustained dollar depreciation could be expected to slow and then reverse the steady rise of the U.S. trade deficit. Also, a depreciating dollar tends to improve the U.S. net debt position by raising the value U.S. foreign assets. B ...
Slides - James Ashley Morrison
... • Monetary Policy: maintain supply of francs – Price of gold is maintained/raised ...
... • Monetary Policy: maintain supply of francs – Price of gold is maintained/raised ...
CURRENCY COMPETITION VERSUS GOVERNMENTAL MONEY MONOPOLIES Roland Vaubel
... is equally available to all members of the group in a quantity or quality that is independent of the size of the group (nonrivalness).23 We shall call a free good a good for which exclusion is not profitable (nonexcludability). The question of whether there are also more limited Pareto-relevant cons ...
... is equally available to all members of the group in a quantity or quality that is independent of the size of the group (nonrivalness).23 We shall call a free good a good for which exclusion is not profitable (nonexcludability). The question of whether there are also more limited Pareto-relevant cons ...
Chapter 6 -- International Finance and the Economy
... in the foreign exchange market to keep BOP = 0 loses control of money supply. -- Or country faces distorted Balance of Payments position (negative or positive) -- Fed might be forced into contractionary monetary policy to raise i* and increase e’* to the fixed rate. ...
... in the foreign exchange market to keep BOP = 0 loses control of money supply. -- Or country faces distorted Balance of Payments position (negative or positive) -- Fed might be forced into contractionary monetary policy to raise i* and increase e’* to the fixed rate. ...
spot exchange rate
... Exchange rate—price of one currency in terms of another: EYTL/USD = 1.34 YTL/dollar Foreign exchange market—the financial market where exchange rates are determined Spot transaction—immediate (two-day) exchange of bank deposits at spot exchange rate Forward transaction—the exchange of bank deposits ...
... Exchange rate—price of one currency in terms of another: EYTL/USD = 1.34 YTL/dollar Foreign exchange market—the financial market where exchange rates are determined Spot transaction—immediate (two-day) exchange of bank deposits at spot exchange rate Forward transaction—the exchange of bank deposits ...
Monetary Policy under Alternative Exchange-Rate Regimes" Simulations with a Multi-Country Model
... utilization and unemployment.3 Each country model has a monetary sector which determines short- and long-term interest rates together with monetary aggregates. The most important instruments of monetary and fiscal policy -reserve requirements, the discount rate, central bank holdings of domestic and ...
... utilization and unemployment.3 Each country model has a monetary sector which determines short- and long-term interest rates together with monetary aggregates. The most important instruments of monetary and fiscal policy -reserve requirements, the discount rate, central bank holdings of domestic and ...
Introduction
... The euro was launched in January 1999 EMU member exchange rates became “irrevocably” locked, and monetary policy was transferred to the ECB The value of the euro was initially set at 0.85 €/US$ or 1.18 US$/€ in a flexible exchange rate regime As seen in Figure 19.3, the euro’s value initially fell a ...
... The euro was launched in January 1999 EMU member exchange rates became “irrevocably” locked, and monetary policy was transferred to the ECB The value of the euro was initially set at 0.85 €/US$ or 1.18 US$/€ in a flexible exchange rate regime As seen in Figure 19.3, the euro’s value initially fell a ...
STABILIZING THE DOLLAR IN A GLOBAL ECONOMY Marc A. Miles
... Particularly in the last decade, as inflation and regulation have spurred financial innovations, economists have come increasingly to realize that what is used for money in the United States extends far beyond such traditional concepts as Ml or even M2. Today Ml includes currency in circulation, dem ...
... Particularly in the last decade, as inflation and regulation have spurred financial innovations, economists have come increasingly to realize that what is used for money in the United States extends far beyond such traditional concepts as Ml or even M2. Today Ml includes currency in circulation, dem ...
Detecting Structural Breaks: Exchange Rates in
... exchange rate for both the US dollar and Deutsche mark. Standard deviations reveal a remarkably high volatility of the national currencies of Romania and Bulgaria. This is in a sharp contrast with the other countries, specifically the Baltic and part of Central Europe. It is also evident without exc ...
... exchange rate for both the US dollar and Deutsche mark. Standard deviations reveal a remarkably high volatility of the national currencies of Romania and Bulgaria. This is in a sharp contrast with the other countries, specifically the Baltic and part of Central Europe. It is also evident without exc ...
Exchange Rates and the Open Economy
... Real exchange rate The price of the average domestic good or service relative to the price of the average foreign good or service, when prices are expressed in terms of a common currency There are important implications for the ability to sell its exports abroad ...
... Real exchange rate The price of the average domestic good or service relative to the price of the average foreign good or service, when prices are expressed in terms of a common currency There are important implications for the ability to sell its exports abroad ...
Portfolio-Flow Volatility and Demand for International Resemes
... financial crisis a s representing precautionary holdings.2 Traditional determinants suggested by the buffer stocli model cannot fully explain the behavior of precautionary reserve holdings. The additional variables that may lead to large precautionary reserves are sovereign risk, costly tax collecti ...
... financial crisis a s representing precautionary holdings.2 Traditional determinants suggested by the buffer stocli model cannot fully explain the behavior of precautionary reserve holdings. The additional variables that may lead to large precautionary reserves are sovereign risk, costly tax collecti ...
29 - Mersin
... The Fed’s Organization • The Fed is run by a Board of Governors, which has seven members appointed by the president and confirmed by the Senate. • Among the seven members, the most important is the chairman. • The chairman directs the Fed staff, presides over board meetings, and testifies about Fed ...
... The Fed’s Organization • The Fed is run by a Board of Governors, which has seven members appointed by the president and confirmed by the Senate. • Among the seven members, the most important is the chairman. • The chairman directs the Fed staff, presides over board meetings, and testifies about Fed ...
Chap29 - MalloryKearney
... The Fed’s Organization • The Fed is run by a Board of Governors, which has seven members appointed by the president and confirmed by the Senate. • Among the seven members, the most important is the chairman. (Ben Bernanke) • The chairman directs the Fed staff, presides over board meetings, and test ...
... The Fed’s Organization • The Fed is run by a Board of Governors, which has seven members appointed by the president and confirmed by the Senate. • Among the seven members, the most important is the chairman. (Ben Bernanke) • The chairman directs the Fed staff, presides over board meetings, and test ...
Reserve currency
A reserve currency (or anchor currency) is a currency that is held in significant quantities by governments and institutions as part of their foreign exchange reserves. The reserve currency is commonly used in international transactions and often considered a hard currency or safe-haven currency. People who live in a country that issues a reserve currency can purchase imports and borrow across borders more cheaply than people in other nations because they don't need to exchange their currency to do so.By the end of the 20th century, the United States dollar was considered the world's most dominant reserve currency, and the world's need for dollars has allowed the United States government as well as Americans to borrow at lower costs, granting them an advantage in excess of $100 billion per year. However, the U.S. dollar's status as a reserve currency, by increasing in value, hurts U.S. exporters.