scholarly journals Data Uncertainty and the Role of Money as an Information Variable for Monetary Policy

2001 ◽  
Vol 2001 (54) ◽  
pp. 1-58 ◽  
Author(s):  
Günter Coenen ◽  
◽  
Andrew Levin ◽  
Volker W. Wieland
Keyword(s):  
Monetary Policy ◽  
Data Uncertainty ◽  
Information Variable

scholarly journals Data uncertainty and the role of money as an information variable for monetary policy

2005 ◽  
Vol 49 (4) ◽  
pp. 975-1006 ◽  
Author(s):  
Günter Coenen ◽  
Andrew Levin ◽  
Volker Wieland
Keyword(s):  
Monetary Policy ◽  
Data Uncertainty ◽  
Information Variable

scholarly journals REDUNDANCY OR MISMEASUREMENT? A REAPPRAISAL OF MONEY

2013 ◽  
Vol 18 (7) ◽  
pp. 1437-1465 ◽  
Author(s):  
Joshua R. Hendrickson
Keyword(s):  
Monetary Policy ◽  
Number Theory ◽  
Empirical Research ◽  
Money Demand ◽  
Empirical Work ◽  
Index Number ◽  
Intermediate Target ◽  
Index Number Theory ◽  
Information Variable

The emerging consensus in monetary policy and business cycle analysis is that money aggregates are not useful as an intermediate target for monetary policy or as an information variable. The uselessness of money as an intermediate target is driven, at least in part, by empirical research that suggests that money demand is unstable. In addition, the informational quality of money has been called into question by empirical research that fails to identify a relationship between money growth and inflation, nominal income growth, and the output gap. Nevertheless, this research is potentially flawed by the use of simple sum money aggregates, which are not consistent with economic, aggregation, or index number theory. This paper therefore reexamines previous empirical evidence on money demand and the role of money as an information variable, using Divisia monetary aggregates. These aggregates have the advantage of being derived from microtheoretic foundations, as well as being consistent with aggregation and index number theory. The results of the reevaluation suggest that previous empirical work might be driven by mismeasurement.

Monetary Policy and Data Uncertainty

2005 ◽  
Author(s):  
Jarkko P. P. Jääskelä ◽  
Anthony Yates
Keyword(s):  
Monetary Policy ◽  
Data Uncertainty

THE ROLE OF ACCOUNTING IN PUBLIC EXPENDITURE AND MONETARY POLICY IN THE FIRST CENTURY AD ROMAN EMPIRE

1995 ◽  
Vol 22 (2) ◽  
pp. 117-129 ◽  
Author(s):  
David Oldroyd
Keyword(s):  
Monetary Policy ◽  
Roman Empire ◽  
Financial Planning ◽  
Public Expenditure ◽  
First Century ◽  
Financial Control ◽  
The Public ◽  
Monetary System ◽  
Epigraphic Evidence

Previous authors have argued that Roman coinage was used as an instrument of financial control rather than simply as a means for the state to make payments, without assessing the accounting implications. The article reviews the literary and epigraphic evidence of the public expenditure accounts surrounding the Roman monetary system in the first century AD. This area has been neglected by accounting historians. Although the scope of the accounts supports the proposition that they were used for financial control, the impetus for keeping those accounts originally came from the emperor's public expenditure commitments. This suggests that financial control may have been encouraged by the financial planning that arose out of the exigencies of funding public expenditure. In this way these two aspects of monetary policy can be reconciled.

scholarly journals On the Limits of Macroprudential Policy

2020 ◽  
Vol 0 (0) ◽  
Author(s):  
Marcin Kolasa
Keyword(s):  
Monetary Policy ◽  
Policy Instruments ◽  
New Keynesian ◽  
Output Volatility ◽  
Macroprudential Policy ◽  
Collateral Constraints ◽  
Keynesian Model ◽  
Additional Stabilization ◽  
The Interest Rate

AbstractThis paper studies how macroprudential policy tools applied to the housing market can complement the interest rate-based monetary policy in achieving one additional stabilization objective, defined as keeping either economic activity or credit at some exogenous (and possibly time-varying) levels. We show analytically in a canonical New Keynesian model with housing and collateral constraints that using the loan-to-value (LTV) ratio, tax on credit or tax on property as additional policy instruments does not resolve the inflation-output volatility tradeoff. Perfect targeting of inflation and credit with monetary and macroprudential policy is possible only if the role of housing debt in the economy is sufficiently small. The identified limits to the considered policies are related to their predominantly intertemporal impact on decisions made by financially constrained agents, making them poor complements to monetary policy, which also operates at an intertemporal margin. These limits can be overcome if macroprudential policy is instead designed such that it sufficiently redistributes income between savers and borrowers.

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