Detail Comparing monetary policy indicators and the credit channel of monetary policy: The role of small borrowers Bibliografi Author: Choi, Jae-Young ; Ratti, Ronald A. (Advisor) Topik: ECONOMICS; FINANCE|ECONOMICS; GENERAL|BUSINESS ADMINISTRATION; BANKING Bahasa: (EN )    ISBN: 0-591-98079-7     Penerbit: UNIVERSITY OF MISSOURI - COLUMBIA     Tahun Terbit: 1998     Jenis: Theses - Dissertation Fulltext: 9901226.pdf (0.0B; 1 download) Abstract This paper analyzes recent work on the identification of a measure of monetary policy and evaluates three monetary policy indicators recently suggested: the federal funds rate, nonborrowed reserves, and the nonborrowed reserve mix. It also examines how monetary policy affects real economic activity through the 'small borrowers' effect' in the credit channel by investigating its effects on the net worth of small and large firms measured by stock returns. The main findings of this paper are as follows. (1) Evidence of the forecast error variance decompositions and the impulse response functions from expanding and rolling VAR specifications shows that the nonborrowed reserve mix variable, owing to its property of nesting the Federal Reserve's alternative monetary policy operating procedures, has been a better measure of monetary policy than the federal funds rate and nonborrowed reserves regardless of changes in the Federal Reserve's operating procedure. (2) Evidence of the 'small borrowers' effect' in the credit channel of monetary policy is found. Estimated impulse response functions show that monetary policy has larger and more persistent impacts on the net worth of small firms whether measured by real, excess, or normalized stock returns. The different magnitudes of the effects of monetary policy on the stock returns of small and large firms seem to be largely attributed to differences in the variance of stock returns of small and large firms. This paper also finds that stock returns of small firms predict future movement in real economic activity significantly, but those of large firms do not. Opini Anda Klik untuk menuliskan opini Anda tentang koleksi ini! Lihat Sejarah Pengadaan  Konversi Metadata   Kembali

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