Includes bibliographical and tables
Includes bibliographies & index
This study attempts to quantify the influence of monetary policy on aggregate demand in India during the post reform period (1998-2019). The New Keynesian approach is adopted as the framework for the study. The structural vector auto regression model used in the study revealed that a monetary policy shock leaves its outcome in the macroeconomic variables, viz., output and inflation in inverse o…
This paper examines the effect of Indonesia’s dual monetary policy on income inequality. This issue of inequality in Indonesia remains significant, and failure to address it could lead to a major economic and social conflict. The studies of monetary policy on income inequality are still inconclusive. In Indonesia, there are limited literatures that show the effect of monetary policy on income…
This paper examines the effects of trend inflation on managing of monetary policy during moderate and low inflation environments in Thailand. It extends the New Keynesian model by introducing a positive trend inflation. It finds that the response of inflation and output are lower during the moderate inflation period. A high level of trend inflation enlarges the welfare loss. When the target lev…
We examine the feasibility of international monetary policy coordination among the ASEAN-5 + 3 countries using the two-production-factor Dynamic Stochastic General Equilibrium (DGSE) models. It explores three types of interaction regimes among these countries: (1) No Coordination; (2) Bilateral Coordination; and (3) Multilateral Coordination. We find 18 feasible Bilateral Coordination schemes a…
We examine the impact of the monetary policy on regional output gaps across 33 Indonesian provinces. Heterogeneous regional responses of the output gap to monetary policy shock are captured using the Vector Autoregressive model. Moreover, the idiosyncratic variations across provinces accounted for different responses are observed with the spatial econometric model. The spatial analysis suggests…
This study empirically examines the impact of international monetary policy on bank risk in the Indian context. Using annual data from 64 banks and employing panel OLS and GMM techniques, this study finds that: (1) a contractionary international monetary policy increases bank risk; (2) an appreciation of the domestic exchange rate induces bank riskiness; (3) the domestic monetary policy affects…
This study investigates the formation of the interaction between monetary and fiscal policies in Indonesia during periods of economic turmoil in the US (external shock) based on the Hybrid New Keynesian (HNK) model. The study estimates the HNK model using the Full Information Maximum Likelihood and time-series data over the period 2001Q1-2014Q4. The result reveals the form of coordination is a …
This paper analyzes the excess liquidity especially on banking industry and its impact on monetary policy on Indonesia. We firstly investigate the determinants of bank behavior on their favor for exces liquidity both for precautionary motive and involuntary, and furthermore determine the threshold between low and high excess liquidity regimes. On the next step, this paper evaluates the impact o…
During Alan Greenspan's years at the helm of the Federal Reserve System, the global economy has undergone significant structural change and withstood a variety of financial and economic shocks. In addition to helping steer the global economy through such challenges, Chairman Greenspan has been at the center of discussions on monetary policy ideas and issues. To honor Alan Greenspan's service, t…
In the spring of 2004, there was widespread expectation in financial markets that the Federal Reserve would shortly begin the process of raising its federal funds rate target back toward a more normal level. Much of this concern was based on the sizable increases in long-term rates that occurred when the Federal Reserve tightened monetary policy in 1994-1995 and 1999-2000. In contrast to the co…
Includes bibliographies and index
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Includes bibliographical and tables
This successful text, now in its second edition, offers the most comprehensive overview of monetary economics and monetary policy currently available. It covers the microeconomic, macroeconomic and monetary policy components of the field. Major features of the new edition include: - Stylised facts on money demand and supply, and the relationships between monetary policy, inflation, output and …
The existence of fiat currencies has long been cited as one of the major contributing factors to the challenges facing contemporary economies, and the current monetary system is not only a key source of exorable increases in interest rates but also a principal cause of inflation and decline in the value of money in many countries. The editors argue that an Islamic monetary system, with its spec…
This influential volume, which has been revised and updated for the twenty-first century, includes both new material and more detailed expositions of existing arguments. Although so-called ‘real’ theories of business cycles and growth are prevalent in contemporary mainstream economics, Controversies in Monetary Economics suggests that those economists who have instinctively focused on mo…
.Proceedings of a conference held at North Falmouth, Massachusetts, June 1994