Interest, Neutral Rate of
Consolidated Budget Rules and Macroeconomic Stability with Income Tax and Finance Constraints
... active interest rate ...a neutral monetary policy [such that the real rate of interest is constant in and o¤ the steady state] is also ...
31
Interest Rate Volatility: A Consol Rate Approach
... consol rate dynamics, one should be able to remove those two properties, by dividing the excess returns by a correct measure of the underlying volatility, and that operation of normalization would recover the ...
16
Interest Rate Trends in a Global Context
... real interest rate is jointly determined by the supply of saving and the demand for ...shift interest rates ...approximation neutral, so we can abstract from inflation and focus on the ...
60
Interest Rate Modeling Conundrums
... The first conundrum we shall discuss in fundamental term-structure modeling is to distinguish the risk-free and default-free curves. Though most literature treat the two curves indifferently with a reason that buying and ...
6
Interest Rate Rigidity and the Fisher Equation
... The only-partially-exogenous real interest rate stems from the existence of a Taylor rule. As showed by Cochrane (2011), no Taylor rule can exist if the movements of i do not influ- ence r. Imagine r ...
27
An Equity Interest Rate Hybrid Model With Stochastic Volatility and the Interest Rate Smile
... By changing the measure from the risk-neutral to the forward measure, associated with the zero-coupon bond as the num´eraire, the dimension of the approximating characteristic function can be significantly reduced. ...
25
Negative Interest Rate Policy in Switzerland
... the interest rates are going to develop in the ...nominal interest rates will tend toward some ‘equilibrium’ or ‘natural’ real rate of interest plus an adjustment for ex- pected long-run ...
26
Financial intermediation and interest rate risk
... to interest rate increase and vice ...(lower) interest rate beta in Stone’s two-factor ...bank’s interest rate beta thus re‡ects the market’s assessment of its duration ...
228
Policy irreversibility and interest rate smoothing
... conducts interest rate smoothing, then future short-term interest rates must be predicted quite ...support interest rate smoothing, insisting that the explanatory power of the lagged ...
26
Requiem for the Interest Rate Controls in China
... deposit rate has been lying constantly below the market interest rate of the same maturity over time, indicating that bank deposits earn lower-than-market ...
24
The effect of interest rate volatility on interest income of commercial banks in Rwanda
... given interest rate, the demand for funds is higher than supply of funds, interest rates tend to rise and vice ...Rwanda Interest rates change in response to a variety of economic events ...
6
Calibration of the chaotic interest rate model
... positive interest rate ...forward rate under the Potential Approach, and showed that it belongs to the HJM Framework while the interest rate positivity is secured by the potential ...
225
Topics in Empirical Finance: Real Interest Rate Parity, Uncovered Interest Rate Parity, and Forecasting Inflation.
... rate differential on its change depends on its own size. Arbitrage activities will occur only if the lagged differential is large enough. Otherwise the arbitrage activities may stop because of the transactions ...
110
The Interest Rate and the Length of Production: A Comment
... the rate of interest and the temporal length of the capital ...lower interest rate, are invested is more complicated a question than was once ...the interest rate falls due to ...
17
Empirical Research on Rate of Return, Interest Rate and Mudharabah Deposit
... of interest (riba), no matter its form or ...of interest is associated with degreeti-capitalist and an obstacle to the correct functioning of a contemporary economy and a prejudicious issue to economic ...
5
New Evidence on Interest Rate and Foreign Exchange Rate Modeling
... We invoke the GMM framework on the moments in (17). The minimized values of the quadratic form in (20) for the various models are reported in table 4. As expected, all mean reverting processes show considerable ...
145
Optimal exchange rate policy in a low interest rate environment
... nominal interest rates are unusually low, as experienced by several Asian economies and Japan since July ...exchange rate channel on the transmission mechanism, may allow the central bank to achieve lower ...
32
The Roadmap of Interest Rate Liberalization in China
... market. Interest rate liberalization is one of the most important changes in this ...Chinese interest rate market transformed from a fully controlled market to a dual-track interest ...
40
Investors' Perception of Bank Risk Management: Multivariate Analysis Techniques
... Net margin of commission income to the total assets, as indicators of strategic status of Natural Hedging against the other risks. Banks can adopt a strategy of natural hedging against all types of risks by increasing ...
9
Modelling interest rate pass through in Rwanda: is the interest rate dynamics symmetric or asymmetric ?
... It may be observed in Figures 1 and 2 that except for the year 2009 marked by the credit crunch and 2010 characterized by comfortable liquidity conditions in the banking system, the lending rates (short and long-term) ...
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