Download A General Approach to Macroeconomic Policy by J. O. N. Perkins (auth.) PDF

By J. O. N. Perkins (auth.)

Show description

Read Online or Download A General Approach to Macroeconomic Policy PDF

Best money & monetary policy books

Money and the Economy

This publication presents a entire and systematic advent to the matter of the definition of cash and investigates the earnings that may be completed through a rigorous use of microeconomic- and aggregation-theoretic foundations within the development of economic aggregates. It offers readers with key features of financial economics and macroeconomics, together with financial aggregation, call for structures, versatile practical varieties, long-run financial neutrality, the welfare fee of inflation, and nonlinear chaotic dynamics.

Regional Monetary Integration

This booklet surveys the clients for nearby financial integration in quite a few elements of the realm. starting with a quick overview of the speculation of optimum forex parts, it is going directly to study the constitution and functioning of the eu financial Union, then turns to the customers for financial integration in different places on the earth - North the United States, South the USA, and East Asia.

The Dynamics of the Price Structure and the Business Cycle: The Italian Evidence from 1945 to 2000

By way of exploring the associated fee dynamics and company cycle of the Italian economic climate as regards to an important foreign occasions, this article sheds new mild at the country's present state of affairs. utilizing a long term analytical framework underpinned by way of crucial theoretical techniques, the research areas specific emphasis on cost dynamics.

Extra resources for A General Approach to Macroeconomic Policy

Sample text

These exchange rate considerations also contribute to explaining the superiority from this point of view of income tax cuts over increases in government outlays; and for all of the countries, and for both fiscal instruments, these exchange rate considerations appear to contribute to explaining why the accommodated forms of fiscal expansion had greater upward effect on prices (for a given real stimulus) than the bond-financed alternative. 10 shows, however, the effects operating through the exchange rate were certainly not the sole channels through which monetary policy was, for most countries, more inflationary than either form of fiscal stimulus.

We consider the following cases. (i) There may be an instrument that has a negligible effect on output but a large upward effect on prices, whereas another instrument has a considerable upward effect on both objectives. 1. 2 Two fiscal instruments with different relative effects on two objectives Effect on Output Prices Tax cuts Government outlays +1 +1 +1 +2 to the policy decisions. ) In this case it is obvious that if one wants to exert downward pressure on prices while raising output, government outlays should be reduced and taxes cut to an appropriate extent until the two objectives are achieved; for in this case a cut in government outlays would not have any (unwanted) downward effect on output.

24 A General Approach to Macroeconomic Policy Whether one is concerned mainly about the five-year average or about the change by the end of the period, one could - on this evidence therefore prescribe some form of monetary restraint with one or more of these two types of fiscal expansion for all these countries except Canada, but for West Germany the tight monetary policy would best be combined with income tax cuts; while for the US the choice would depend partly on whether the main concern is with the end of the period or the average annual level.

Download PDF sample

Rated 4.21 of 5 – based on 13 votes