Low frequency drivers of the real interest rate: Empirical evidence for advanced economies

2018 ◽  
Vol 22 (2) ◽  
pp. 171-185
Author(s):  
Fabio Busetti ◽  
Michele Caivano
Keyword(s):  
Interest Rate ◽  
Empirical Evidence ◽  
Real Interest Rate ◽  
Low Frequency ◽  
The Real ◽  
Advanced Economies

scholarly journals An Analysis of the Real Interest Rate Under Regime Shifts

1996 ◽  
Vol 78 (1) ◽  
pp. 111 ◽  
Author(s):  
Rene Garcia ◽  
Pierre Perron
Keyword(s):  
Interest Rate ◽  
Real Interest Rate ◽  
Regime Shifts ◽  
The Real

scholarly journals PROMBLEATIC ASPECTS OF SOLVING QUESTIONS WHILE CONDUCTING ECONOMIC EXAMINATIONS OF DOCUMENTS ON FINANCIAL AND CREDIT TRANSACTIONS

2016 ◽  
Vol 15 ◽  
pp. 321-326
Author(s):  
P O. Ivakhnenko
Keyword(s):  
Interest Rate ◽  
Real Interest Rate ◽  
Total Cost ◽  
Detailed Consideration ◽  
The Real ◽  
Credit Agreement ◽  
Expert Practice

Based on expert practice, the article analyzes main questions that experts are asked to solve when forensic economic examinations are commissioned in order to study documents on financial and credit transactions. The article provides a detailed consideration of problems that are connected with determining the total cost of the credit and calculation of the real interest rate for the use of credit resources, as well as the methods to calculate and use the floating interest rate when the credit agreement is concluded. It analyzes the most important tasks that experts solve in the course of the studies on the abovementioned questions. The article provides normative acts that regulate the order for disclosing information on the total cost of credit resources when credit agreements are concluded, the order for the formation of the floating interest rate. It considers problematic aspects of conducting examinations of documents on financial and credit transactions and offers proposals on amending and updating the array of methods in this area of research.

scholarly journals The Interest Rate Effect on Private Saving: Alternative Perspectives

2019 ◽  
Vol 10 (01) ◽  
pp. 1950002 ◽  
Author(s):  
Joshua Aizenman ◽  
Yin-Wong Cheung ◽  
Hiro Ito
Keyword(s):  
Interest Rate ◽  
Real Interest Rate ◽  
Age Dependency ◽  
Output Volatility ◽  
The Real ◽  
Private Saving ◽  
Percentage Point Increase ◽  
Point Increase ◽  
Rate Environment ◽  
The Interest Rate

Lowering the policy interest rate could stimulate consumption and investment while discouraging people from saving. However, such a move may also prompt people to save more to compensate for the low rate of return. Using the data of 135 countries from 1995 to 2014, we show that a low interest rate environment can yield different effects on private saving under different economic environments. The real interest rate affects private saving negatively if output volatility, old-age dependency, or financial development is above a certain threshold. Depending on a country’s specific economic circumstances, these effects are significant for the economy — a four-percentage point decline in the real interest rate, which is approximately the same as one standard deviation for China, would lead to a 1.52 percentage point increase in the Chinese private saving rate. Further, when the real interest rate is below 1.1%, greater output volatility would lead to higher private saving in developing countries.

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