Measuring the monetary policy stance of the People's bank of china: An ordered probit analysis

2012 ◽  
Vol 23 (3) ◽  
pp. 512-533 ◽  
Author(s):  
Weibo Xiong
Keyword(s):  
Monetary Policy ◽  
Probit Analysis ◽  
Ordered Probit ◽  
Bank Of China

An ordered probit analysis of monetary policy inertia

2015 ◽  
Vol 15 (2) ◽  
Author(s):  
Omer Bayar
Keyword(s):  
Monetary Policy ◽  
Interest Rate ◽  
Probit Model ◽  
Probit Analysis ◽  
Ordered Probit ◽  
Ordered Probit Model ◽  
Rate Adjustment ◽  
Discrete Nature ◽  
Standard Models ◽  
The Impact

AbstractThe two leading explanations of the observed persistence in policy interest rate changes are monetary policy inertia and omitted serially correlated shocks. This paper addresses the persistence debate from the perspective of how to properly model policy rates. An ordered probit model is used to account for the discrete nature of interest rate adjustment, an aspect of policy absent in standard models. Ordered probit results show that the impact of inertia on interest rate setting is considerably smaller than indicated by standard models.

Greening Monetary Policy: Evidence from the People's Bank of China

2021 ◽  
Author(s):  
Banque de France RPS Submitter ◽  
Camille Macaire ◽  
Alain Naef
Keyword(s):  
Monetary Policy ◽  
Bank Of China

Determinants and implications of crop production loss: An empirical exploration using ordered probit analysis

2017 ◽  
Vol 67 ◽  
pp. 527-536 ◽  
Author(s):  
Zeenatul Islam ◽  
Mohammad Alauddin ◽  
Md. Abdur Rashid Sarker
Keyword(s):  
Crop Production ◽  
Probit Analysis ◽  
Ordered Probit ◽  
Production Loss

scholarly journals Influence of the People’s Bank of China Monetary Policy on the Country’s Economic Development

2019 ◽  
Vol 35 (2) ◽  
pp. 223-250
Author(s):  
Svetlana V. Bekareva ◽  
◽  
Ekaterina N. Meltenisova ◽  
Ekaterina A. Shikhovtsova ◽  
Yuying Song ◽  
...  
Keyword(s):  
Monetary Policy ◽  
Economic Development ◽  
Bank Of China

Effect of monetary policy on bank risk: does market structure matter?

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muntazir Hussain ◽  
Usman Bashir ◽  
Ahmad Raza Bilal
Keyword(s):  
Monetary Policy ◽  
Market Structure ◽  
Risk Taking ◽  
Bank Risk ◽  
Monetary Policy Transmission ◽  
Content Type ◽  
Bank Of China ◽  
Policy Transmission ◽  
Chinese Banking Industry

PurposeThe purpose of this paper is to investigate the risk-taking channel of monetary policy transmission in the Chinese banking industry. This study also investigates the role of various other factors in the risk-taking channel.Design/methodology/approachThis study used panel data from 2000 to 2012, and a dynamic panel model (Difference GMM) was applied.FindingsThe empirical findings of this paper suggest that loose monetary policy rates increase bank risk-taking. Unlike previous studies, the results of this paper suggest that the bank-specific factors (size, liquidity and capitalization) do not significantly affect the risk-taking channel. However, the market structure does have a stabilizing effect on monetary policy transmission and the risk-taking channel. Higher market power weakens the risk-taking channel of monetary policy transmission.Practical implicationsOf significance to the policymakers' point of view is that loose monetary policy induces banks to take excessive risks. However, such effects can be mitigated by encouraging a proper level of market power in banking markets.Originality/valueThis study investigated the risk-taking channel of monetary policy transmission for the Chinese banking industry. Due to the unique features of the People's Bank of China (PBC, Central Bank of China) policy, this study also contributes to the literature by comparing price-based and quantity-based monetary policy tools and their effectiveness in financial stability and monetary policy transmission. Furthermore, the role of market structure is also investigated in the risk-taking channel.

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