Money, Output, and Prices Evidence from a New Monetary Aggregate PDF ePub eBook

Books Info:

Money, Output, and Prices Evidence from a New Monetary Aggregate free pdf Excerpt from Money, Output, and Prices Evidence From a New Monetary Aggregate How monetary shocks affect prices and real activity are two of the central questions in macroeconomics. The implications of various theoretical models addressing these issues have been explored in literally hundreds of empirical papers. Despite the substantial interest in what money does, there is little consensus on what money is. Most previous empirical studies use relatively arbitrary rules in deciding which assets are monetary, and which are not. By choosing to study how the monetary base, or M1, or M2, affects prices and real activity, researchers implicitly made judgments about the identity of monetary assets. Narrow definitions of money, such as the base, exclude a variety of assets that provide liquidity services. Broader definitions, such as M2, give equal weight to a variety of assets with arguably quite different liquidities. This is hardly more defensible than constructing a measure of GNP by adding together the physical volume of output in different industries! A more attractive approach involves weighting different assets by the value of the monetary services they provide. This principle underlies Barnett's(1980) derivation of Divisia monetary aggregates. The continued widespread use of conventional aggregates is particularly surprising, since research has repeatedly shown Divisia aggregates to be at least as good at predicting GNP. In this paper we propose a new monetary aggregate, the currency-equivalent (CE) aggregate, which is related to the Divisia aggregates. The CE aggregate is a time-varying weighted average of the stocks of different monetary assets, with weights which depend on each asset's yield relative to that on a benchmark "zero liquidity" asset. About the Publisher Forgotten Books publishes hundreds of thousands of rare and classic books. Find more at www.forgottenbooks.com This book is a reproduction of an important historical work. Forgotten Books uses state-of-the-art technology to digitally reconstruct the work, preserving the original format whilst repairing imperfections present in the aged copy. In rare cases, an imperfection in the original, such as a blemish or missing page, may be replicated in our edition. We do, however, repair the vast majority of imperfections successfully- any imperfections that remain are intentionally left to preserve the state of such historical works.

About Julio Rotemberg

Regrettably, presently we can't offer you details about the particular Author Julio Rotemberg. However, this doesn't imply that individuals don't work to be with her series. We all ask which you help us with this subject. If you have free time and require can exceptionally appreciate when you share with people your data. Any time getting this sort of opinions and info from people in regards to the Money, Output, and Prices Evidence from a New Monetary Aggregate Publisher Julio Rotemberg, we initial her look at. Once we be certain that most true, merely publish the idea. Many of us fully grasp this assist in addition to thank you before hand.

Details Book

Author : Julio Rotemberg
Publisher : Forgotten Books
Data Published : 27 September 2015
ISBN : 1330418816
EAN : 9781330418819
Format Book : PDF, Epub, DOCx, TXT
Number of Pages : 60 pages
Age + : 15 years
Language : English
Rating :

Reviews Money, Output, and Prices Evidence from a New Monetary Aggregate



17 Comments Add a comment




Related eBooks Download


  • Paper Money Collapse free pdfPaper Money Collapse

    Explore the inevitable collapse of the fiat monetary system Paper Money Collapse: The Folly of Elastic Money. Second Edition challenges the mainstream consensus on money and monetary policy..


  • Macroeconomics of Monetary Union free pdfMacroeconomics of Monetary Union

    This book. unlike other books. provides readers with a practical yet sophisticated grasp of the macroeconomic principles necessary to understand a monetary union. By definition. a monetary union is a group of countries that share a common currency..


  • New Contributions to Monetary Analysis free pdfNew Contributions to Monetary Analysis

    This book sheds light on some of the most recent developments in monetary analysis which offer a theoretical framework for a renewed monetary approach and related policy extensions..


  • Handbook of Monetary Economics free pdfHandbook of Monetary Economics

    What are the goals of monetary policy and how are they transmitted. Top scholars summarize recent evidence on the roles of money in the economy. the effects of information..


  • Monetary Theory as a Basis for Monetary Policy free pdfMonetary Theory as a Basis for Monetary Policy

    Since the inflationary 1970s. theoretical work on monetary policy has concentrated almost exclusively on price level stabilization and the avoidance of nominal shocks. In the aftermath of the collapse of financial bubbles in various parts of the world..


  • Money, Output, and Prices Evidence from a New Monetary Aggregate free pdfMoney, Output, and Prices Evidence from a New Monetary Aggregate

    Read Free Books. Excerpt from Money, Output, and Prices Evidence From a New Monetary Aggregate How monetary shocks affect prices and real activity are two of the central questions in macroeconomics. T