Rethinking the Economic Development Implications of Trinity Policy Trade-offs in Nigeria: A Focus on GNI Per Capita Growth

This study deepens the understanding of the dynamic relationship between trinity policy trade-offs and GNI per capita in Nigeria between 1980 and 2020. The external reserve is introduced to the empirical model in recognition of its role in stimulating the effectiveness of trinity policy goals. Data for the variables were sourced from the National Bureau of Statistics, CBN Statistical Bulletin and World Bank World Development Indicators (WDI) among others. Descriptive statistics, Phillips-Perron unit root test, bounds cointegration and ARDL model as well as Tado-Yamamoto causality form basis for data analysis. The unit root test results reveal that the variables are mixed integrated. This necessitates the application of the bounds cointegration test. As observed from the results, a long-run relationship exists between GNI per capita and trinity policy indexes. It was found from the ARDL estimates that monetary autonomy and capital mobility have a significant positive effect on GNI per capita in both the short and long run. This suggests that more monetary policy sovereignty and openness of the financial architecture yield positive benefits of improved living standard. The result further showed evidence of long-run causality flowing from external reserve to GNI per capita. This finding explains why policymakers in Nigeria have continued to prioritize external reserve build-up for sterilized intervention and stimulating policy effectiveness. Given the findings, this study recommends that policymakers should strive to maintain appreciable monetary autonomy and gradually collapse restrictions on cross-border capital flows to improve economic well-being in Nigeria.

Fiscal challenges may weigh on El Salvador growth

Subject El Salvador's economy. Significance A rigid expenditure structure and a growing interest bill have resulted in recurring fiscal deficits over the course of the last decade, despite significant cuts to public subsidies since 2012. As a result, public debt has increased steadily, reaching a historic high of 67% of GDP at end-2018. Medium-term financing needs remain relatively high for a dollarised economy, increasing the country’s vulnerability to external shocks. Impacts While dollarisation involves a loss of monetary autonomy, it will help El Salvador avoid inflationary and currency risks. Increases in credit and liquidity risks will lead to higher sovereign interest risk premium, especially for the LETES. A new pension reform addressing low replacement rates and coverage is expected in 2020.

Trinity Strikes Back

Monetary independence is at the core of the macroeconomic policy trilemma stating that an independent monetary policy, a fixed exchange rate and free movement of capital cannot exist at the same time. This study examines the relationship between monetary autonomy and inflation dynamics in a panel of Caribbean countries over the period 1980–2017. The empirical results show that monetary independence is a significant factor in determining inflation, even after controlling for macroeconomic developments. In other words, greater monetary policy independence, measured as a country’s ability to conduct its own monetary policy for domestic purposes independent of external monetary influences, leads to lower consumer price inflation. This relationship—robust to alternative specifications and estimation methodologies—has clear policy implications, especially for countries that maintain pegged exchange rates relative to the U.S. dollar with a critical bearing on monetary autonomy.

IMPLEMENTASI KEBIJAKAN INTENSIFIKASI DAN EKSTENSIFIKASI PENDAPATAN ASLI DAERAH DALAM PELAKSANAAN OTONOMI DI KOTA SURABAYA

In monetary autonomy, Surabaya government expects to increase its province earnings. As the government regulation number 22 in 1999 (the newest is number 32 in 2004), Surabaya government has a privilege autonomy in considering the intensification and extensification to support its province earnings for economical development. This research intends to get a real proof on implementation of intensification and extensification for province and also to get the real proof on regional economic development and the growing of earning grade after the application of newest regulation number 32 in 2004.This is a qualitative research by taking data from BPS office in Surabaya, on 10 June 2005 and from Surabaya financial department. And the results show that the new regulation can increase the province earnings by implementing intensification (tax of bill and retribution) of an area which is stated. And after the rule was issued can increase the amount of infestations. So these support the growing economic grade and infestation season around east Java regions especially in Surabaya city

Policy Challenges in Maintaining Renminbi Stability in China

This paper examines the policy challenges and dilemmas faced by China’s authorities in balancing exchange rate stability with the policy necessity of monetary autonomy. China will have to move toward greater exchange rate flexibility, particularly as the capital account becomes increasingly liberalized and the government pushes forward with RMB internationalization.

IMPLEMENTASI KEBIJAKAN INTENSIFIKASI DAN EKSTENSIFIKASI PENDAPATAN ASLI DAERAH DALAM PELAKSANAAN OTONOMI DI KOTA SURABAYA

In monetary autonomy, Surabaya government expects to increase its province earnings. As the government regulation number 22 in 1999 (the newest is number 32 in 2004), Surabaya government has a privilege autonomy in considering the intensification and extensification to support its province earnings for economical development. This research intends to get a real proof on implementation of intensification and extensification for province and also to get the real proof on regional economic development and the growing of earning grade after the application of newest regulation number 32 in 2004.This is a qualitative research by taking data from BPS office in Surabaya, on 10 June 2005 and from Surabaya financial department. And the results show that the new regulation can increase the province earnings by implementing intensification (tax of bill and retribution) of an area which is stated. And after the rule was issued can increase the amount of infestations. So these support the growing economic grade and infestation season around east Java regions especially in Surabaya city.