scholarly journals Financial Market Developments and Economic Activity during Current Account Adjustments in Industrial Economies

2005 ◽  
Vol 2005 (827) ◽  
pp. 1-57 ◽  
Author(s):  
Hilary Croke ◽  
◽  
Steven Kamin ◽  
Sylvain Leduc
2009 ◽  
Vol 210 ◽  
pp. 58-60
Author(s):  
Ray Barrell

The increase in UK public sector net borrowing in the past year, plotted in figure 1, has been in part a result of the decline in economic activity, and also a consequence of the change in housing and financial market transactions. The former is predictable with every 1 per cent decline in output below trend producing a decline in net revenues of of between one third and three fifths of a per cent of GDP depending upon the reason for the decline in output. The loss from the decline in asset-related revenues is harder to judge, but the April 2009 budget suggested that revenue losses might be more than 1 per cent of GDP.


2012 ◽  
Vol 13 (Supplement) ◽  
pp. 13-35
Author(s):  
Gernot Müller

AbstractThe conduct of fiscal policy has been altered considerably in the context of the global financial crisis, that is, at times when financial markets conditions were extraordinary turbulent. Yet financial market conditions determine how fiscal impulses are transmitted through the economy and, eventually, the size of the fiscal multiplier. I develop a comprehensive perspective on how financial market conditions alter the effects of fiscal policy on economic activity within a New Keynesian framework. Drawing on historical as well as systematic considerations, I distinguish a scenario of 1) “normal times” characterized by smoothly operating financial markets, 2) financial markets characterized by tight credit conditions in the private sector and constraints on monetary policy and 3) financial markets, in addition, characterized by high sovereign risk. I argue that the size and even the sign of the multiplier may differ across these scenarios.


2016 ◽  
pp. 332-349 ◽  
Author(s):  
Tomasz Serwach

The paper examines the causes of the Eurozone crisis – they are divided into two categories: proximate and fundamental causes. Regarding the former, it seems that the current account balance should be seen as a crucial determinant of the GDP dynamics of the Eurozone members during 2008–2012. As far as the fundamental causes are concerned, the financial market structure and institutional quality measures are of the highest explanatory power. Econometric results indicate that measures taken to tackle the crisis (austerity and internal devaluation) may be ineffective in restoring growth and stability.


Author(s):  
Dr. Viplaw Kishore Pandey

It has been observed that from the month of Nov, 2020 BSE Sensex is back in its mood and is going has made an all time high. Now the market is in a jubilant mood. During the COVID-19 period the market has behaved like a roller costa and every good and bad news about the Pandemic has equivalently affected the Sensex too, if not in absolute terms at least in terms of its direction. The initial days of the Covid-19 pandemic has created a huge losses to the investors in the financial market. Almost all the economic activity was stopped which has resulted in a huge loss to the business. After the removal of the lockdown in phased wise manner the market particularly the stock market has a frequent swing and in last couple of month it has been able to reach all time high mark of 50 K.  The present article aims to analyse the journey of the BSE Sensex during the COVID-19 period from January second week of 2020 till date


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