Monetary policy: rules rule -OK?

Article Abstract:

The McCallum rule for monetary policy advocates setting growth of narrow money or M0 in line with a pre-set target for economic growth. Critics argues that if central banks seek to control M0 rather than interest rates, there could be excessively volatile interest rates. The rule implies that M0 is a good way to forecast inflation, but it is not the only indicator of future inflation, and other measures using a variety of indicators may be more accurate.

Interest rates

---

Global economy: getting better

Article Abstract:

The world economy should continue to expand, with the US emerging from a temporary slowdown, according to JP Morgan. Emerging economies have good prospects and their markets have stabilised by Aug 1995. The Japanese goverment is likely to provide fiscal and monetary support for the Japanese financial system. Monetary policy is likely to tighten outside Japan due to inflationary pressures. Action will also have to continue to control budget deficits.

Analysis, Economic development

---

Why investors should ignore the Bank

Article Abstract:

The Bank of England's Sep 6, 2001, decision on interest rates is not crucial for investors in gilts. Research by two Bank economists found that interest rate changes do not often cause a large reaction in long-dated gilt futures prices.

Prices and rates, Government securities, Futures

Similar abstracts:

• Abstracts: Outlook for oil and the global economy. Things can only get better. Oil keeps economists on their toes
• Abstracts: History lessons. Global strategy: growth revival. The lessons of the yield curve
• Abstracts: Measuring the causes of economic insecurity: construction of a composite index. Measuring income
• Abstracts: Information technology Statement No. 2 - Good Accounting Software
• Abstracts: Paying for pensions: how important is economic growth? Singapore listings for foreign enterprises. Volatility spillovers and the role of leading financial centres

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.