Exact(5)
And who has all Europe's monetary credibility?
And sometimes this leads to insights that I don't think would have come from either approach alone, like the crucial role of monetary credibility in making a liquidity trap possible.
It finds that monetary credibility and the presence of capital controls are positively correlated with this capacity.
The paper finds weak support for the idea that the level of development, institutional quality, or monetary credibility or fiscal solvency is correlated with Original Sin.
In other words, maintain relaxed monetary conditions: it will be good for the economy; it will be good for the fiscal account; and it will not harm monetary credibility if it is not seen as a replacement for fiscal adjustment but as a complement.
Similar(53)
One is monetary policy credibility.
In a recent paper†, Alfredo Marvao Pereira, an economist at the College of William and Mary in Williamsburg, Virginia, estimates that the increase in monetary-policy credibility and reduction in interest rates will boost the long-term growth rate by 0.4 percentage points a year.
Net FDI inflows in the first half of 2000 were strong.In macroeconomics, euro membership incurs a cost, to be set against the benefits of monetary-policy credibility and the absence of exchange-rate risk: interest rates are now set in Frankfurt, not Lisbon.
One of the cornerstones of monetary policy is the credibility of the central bank.
By pushing down inflation for a while, it may reinforce the credibility of monetary policy.
As far I can tell, not really: This paper analyzes public- and private-sector behavior in a sample of 17 OECD countries for evidence of variations in disinflationary credibility with monetary institutions.
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