Do Interventions Smooth Interest Rates?
Author: Andreas M. Fischer
Publisher:
Published: 2000
Total Pages: 44
ISBN-13:
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Foreign Exchange Intervention as a Monetary Policy Instrument
Author: Felix Hüfner
Publisher: Springer Science & Business Media
Published: 2012-12-06
Total Pages: 180
ISBN-13: 3790826723
DOWNLOAD EBOOKForeign exchange intervention is frequently being used by central banks in countries which have a floating exchange rate. Most theoretical monetary policy models, however, do not take this phenomenon into account. This book contributes to close this gap between theory and practice by interpreting foreign exchange intervention as an additional monetary policy instrument for inflation targeting central banks. In-depth empirical analyses of the foreign exchange operations and interest rate policy of five inflation targeting countries (Australia, Canada, New Zealand, Sweden and the United Kingdom) demonstrate how foreign exchange intervention is used in practice.
Foreign Exchange Intervention Rules for Central Banks: A Risk-based Framework
Author: Romain Lafarguette
Publisher: International Monetary Fund
Published: 2021-02-12
Total Pages: 33
ISBN-13: 1513569406
DOWNLOAD EBOOKThis paper presents a rule for foreign exchange interventions (FXI), designed to preserve financial stability in floating exchange rate arrangements. The FXI rule addresses a market failure: the absence of hedging solution for tail exchange rate risk in the market (i.e. high volatility). Market impairment or overshoot of exchange rate between two equilibria could generate high volatility and threaten financial stability due to unhedged exposure to exchange rate risk in the economy. The rule uses the concept of Value at Risk (VaR) to define FXI triggers. While it provides to the market a hedge against tail risk, the rule allows the exchange rate to smoothly adjust to new equilibria. In addition, the rule is budget neutral over the medium term, encourages a prudent risk management in the market, and is more resilient to speculative attacks than other rules, such as fixed-volatility rules. The empirical methodology is backtested on Banco Mexico’s FXIs data between 2008 and 2016.
Three Essays on Empirical Macroeconomics
Author: Christopher C. Douglas
Publisher:
Published: 2007
Total Pages: 390
ISBN-13:
DOWNLOAD EBOOKCapital Mobility
Author: Leonardo Leiderman
Publisher: Cambridge University Press
Published: 1994-07-14
Total Pages: 400
ISBN-13: 9780521454384
DOWNLOAD EBOOKThis edited volume examines capital mobility in both industrialised and developing countries.
Biogas systems in Rwanda – A critical review
Author: Food and Agriculture Organization of the United Nations
Publisher: Food & Agriculture Org.
Published: 2021-03-08
Total Pages: 54
ISBN-13: 9251339864
DOWNLOAD EBOOKIdentifying sustainable sources of renewable energy is key to ensuring that countries can grow on a sustainable path that also meets climate change targets as outlined in countries’ NDCs. Among renewables, bioenergy can attract investments in the rural sector and help farmers to improve their income by increasing agricultural production and diversifying markets for by-products, such as digestate. FAO’s Bioenergy and Food Security (BEFS) Approach assists countries in defining which bioenergy options can be both sustainable and viable while ensuring food security and protecting the environment.In Rwanda the agriculture sector plays a key role in its economy, contributing around one-third of the country’s GDP and employing approximately 70 percent of the working population. The livestock sector is an important economic sector and agriculture sub-subsector. Driving change through this sector can provide win-win solutions to achieve poverty reduction targets.Bringing in the energy facet through bioenergy options such as biogas can further corroborate these strategies by also addressing energy access and energy substitution targets.After the genocide, the government worked on re-establishing the livestock sector, and in 2003 the poverty reduction strategy flagged developing a biogas programme as one of the elements the country should pursue. The programme has been ongoing until recently when a detailed review of the sector was implemented due to the relatively limited number of households implementing the systems. This report aims to shed some light on the issues around biogas viability in Rwanda and how to possibly strengthen biogas in the country.
Can a Rule-Based Monetary Policy Framework Work in a Developing Country? The Case of Yemen
Author: Selim Elekdag
Publisher: International Monetary Fund
Published: 2007-01-01
Total Pages: 30
ISBN-13: 1451865708
DOWNLOAD EBOOKMonetary policy in Yemen is largely rudimentary and ad hoc in nature. The Central Bank of Yemen's (CBY) approach has been based on discretionary targeting of broad money without any clear target to anchor inflation expectations. This paper argues in favor of a new formal monetary policy framework for Yemen emphasizing a proactive and rule-based approach with a greater direct focus on price stability in the context of a flexible management of the exchange rate. Although, as in many developing countries, institutional capacity is a concern, adopting a more formal framework could impel the kind of changes that are required to strengthen the ability of the CBY in achieving low and stable rates of inflation over the medium term.
How a Ledger Became a Central Bank
Author: Stephen Quinn
Publisher: Cambridge University Press
Published: 2023-11-30
Total Pages: 339
ISBN-13: 1108603491
DOWNLOAD EBOOKBefore the US Federal Reserve and the Bank of England, the Bank of Amsterdam ('Bank') was a dominant central bank with a global impact on money and credit. How a Ledger Became a Central Bank draws on extensive archival data and rich secondary literature, to offer a new and detailed portrait of this historically significant institution. It describes how the Bank struggled to manage its money before hitting a modern solution: fiat money in combination with a repurchase facility and discretionary open market operations. It describes techniques the Bank used to monitor and stabilize money stock, and how foreign sovereigns could exploit the liquidity of the Bank for state finance. Closing with a discussion of commonalities of the Bank of Amsterdam with later central banks, including the Federal Reserve, this book has generated a great deal of excitement among scholars of central banking and the role of money in the macroeconomy.
Central Bank Policy
Author: Perry Warjiyo
Publisher: Emerald Group Publishing
Published: 2019-07-25
Total Pages: 586
ISBN-13: 1789737516
DOWNLOAD EBOOKCentral Bank Policy: Theory and Practice analyses various policies, theories and practices adopted by central banks, as well as the institutional arrangements underlying the principles of good governance in policy-making. It is the first book to comprehensively discuss the latest theories and practices of central bank policy.
History of Monetary Policy in India Since Independence
Author: Ashima Goyal
Publisher: Springer
Published: 2014-07-16
Total Pages: 89
ISBN-13: 8132219619
DOWNLOAD EBOOKThe book discusses Indian post-independence monetary history in the context of the country’s development and the global changes of the period. The conceptual framework used is the SIIO (Structure, Ideas, Institutions and Outcomes) paradigm. That is, structure and ideas become embedded in institutions and affect outcomes. Narrative history, data analysis and research reports demonstrate the dialectic between ideas and structure with respect to monetary history, aspects of India’s development, and the global institutions and events that impacted monetary choices. The history of the economy and of the global changes that affected it covers a time when major changes took place both in India and internationally. India’s greater openness is important both for it and for the world, but it occurred at a time of major global crises. How did these impact monetary choices and how did the latter help India navigate the crises while maintaining its trajectory towards greater liberalization? The book explores these and other relevant but under-analyzed questions. The initial combination of ideas and structure created fiscal dominance and made monetary policy procyclical. An aggregate supply-and-demand framework derived from forward-looking optimization subject to Indian structural constraints is able to explain growth and inflation outcomes in the light of policy actions. Using exogenous supply shocks to identify policy shocks and to isolate their effects, demonstrate that policy was sometimes exceedingly strict despite the common perception of a large monetary overhang. Surges and sudden stops in capital flow also constrained policy. But the three factors that cause a loss of monetary autonomy—governments, markets and openness—moderate each other. Markets moderate fiscal profligacy and global crises moderate market freedoms and ensure openness remains a sequenced and gradual process. The book argues greater current congruence between ideas and structure is improving institutions and contributing to India’s potential.
