Financial Factors in Economic Stabilization and Growth
Cambridge University Press, 8/15/1996
EAN 9780521480505, ISBN10: 0521480507
Hardcover, 270 pages, 22.9 x 15.2 x 1.9 cm
Language: English
With the advent of increased capital mobility, financial factors have become of key importance for the processes of stabilization and growth in developing developed, and transforming economies. The size of international capital movements and the financial intermediation industry has become so large that these factors could become the dominant impulses for individual economies and the global economy in the 1990s and beyond. This book collects essays by well-known analysts in international economics and finance who treat these issues from relatively new perspectives. They focus on (i) the role of credit in the propagation mechanism of monetary policy; (ii) effects of monetary policy on the likelihood that a given economy will become a banking centre; (iii) the implications of increased capital mobility for migration flows; (iv) the role of exchange rate bands in the transition from high to low inflation; and (v) the interaction between financial innovations and inflation.
Part I. Introduction
Mario I. Blejer, Zvi Eckstein, Zvi Hercowitz and Leonardo Leiderman
Part II. Transmission of Credit Policy
1. The role of credit market imperfections in the monetary transmission mechanism
arguments and evidence Mark Gertler and Simon Gilchrist
2. Identification and the effects of monetary policy shocks Lawrence J. Christiano, Martin Eichenbaum and Charles Evans
3. Credit market imperfections and low-output equilibria in economies in transition Guillermo A. Calvo and Fabrizio Coricelli
Part III. International Financial Factors
4. Transparency and the evolution of exchange rate flexibility in the aftermath of disinflation Alex Cukierman, Miguel Kiguel and Leonardo Leiderman
5. Cross-border banking Jonathon Eaton
6. Immigration and growth under imperfect capital mobility
the case of Israel Zvi Hercowitz, Nirit Kantor and Leora Meridor
Part IV. Financial Innovation and Growth
7. Interpreting monetary stabilization in a growth model with credit goods production Rao Aiyagari and Zvi Eckstein
8. The macroeconomic effects of financial innovation
the case of Israel Rafael Melnik and Eran Yashiv.
"...this volume brings together a wide variety of empirical and theoretical models of financial factors and monetaru policy....The wide-ranging set of essays in the volume's middle present a series of ideas that may ultimately prove useful in bridging this gap." Timothy S. Fuerst, Journal pf Economic Literature