The New Monetary Policy: Implications and Relevance

The New Monetary Policy: Implications and Relevance

Yazar : Philip Arestis Michelle Baddeley John S. L. McCombie
Yayınevi : Edward Elgar Publishing Ltd
ISBN : 9781843769545
Baskı yılı : 2005
Sayfa sayısı : 264
Stok durumu : Tükendi   
Recent developments in macroeconomic and monetary thinking have given a new impetus to the management of the economy. The use of monetary policy by way of manipulating the rate of interest to affect inflation is now well accepted by both academic economists and central bank practitioners. Beginning with an assessment of new thinking in macroeconomics and monetary theory, this book suggests that many countries have adopted the new consensus monetary policy since the early 1990s in an attempt to reduce inflation to low levels. It goes on to illustrate that the explicit control of the money supply, which was fashionable in the 1970s and 1980s in the UK, US, Europe and elsewhere, was abandoned in favour of monetary rules that focus on interest rate manipulation by the central bank. The objective of these rules is to achieve specific, or a range of, inflation targets. Bringing together a distinguished cast of international contributors, this book presents a collection of papers, which discuss the following issues amongst others: the stability of the macroeconomic equilibrium; monetary policy divergences in the Euro area; stock market prices; the US post-new economy bubble; the information economy; inflation targeting. This useful analysis of new consensus monetary policy will be of great interest to financial economists and international monetary economists, as well as students and scholars of macroeconomics and finance.
1 Introduction by Philip Arestis and Michelle Baddeley and John McCombie 1
2 New consensus monetary policy : an appraisal by Philip Arestis and Malcolm Sawyer 7
3 Central Bank behaviour and the stability of macroeconomic equilibrium : a critical examination of the new consensus by Mark Setterfield 23
4 Monetary policy divergences in the Euro area : the early record of the European Central Bank by Georgios Chortareas 50
5 Stock market prices and the conduct of monetary policy under the new consensus monetary policy by Nigel Allington and John McCombie 68
6 On the US post-new economy bubble : should asset prices be controlled? by Philip Arestis and Elias Karakitsos 88
7 Monetary policy in the information economy : old problems and new challenges by Michelle Baddeley and Giuseppe Fontana 111
8 The monetary policy outcomes curve : can the size and structure of public debt undermine policy objectives? by Stephanie Bell-Kelton and Rex Ballinger 129
9 The old lady in new clothes : uncertainty and the UK monetary policy framework by Mark Roberts 149
10 The experience of inflation targeting since 1993 by Charles Goodhart 164
11 Reflections on the Bank of Canadas monetary policy framework by Charles Freedman 172
12 The determinants of saving in developing countries, and the impact of financial liberalization by A. P. Thirlwall 192
13 Monetary models and inflation targeting in emerging market economies by Valpy FitzGerald 204
14 International aspects of current monetary policy by L. Randall Wray 224