Now showing items 21-40 of 461

    • The Performance of Inflation Forecast Feedback Rules in Small Open Economies 

      Leitemo, Kai (Working Papers;11/2000, Working paper, 2000)
      This paper examines the performance of inflation forecast feedback rules in a two-sector, calibrated model of the U.K. economy. Under such rules, the interest rate responds to the deviation of the unchanged-interest-rate ...
    • Open-Economy Inflation Forecast Targeting 

      Leitemo, Kai (Working Papers;2/2000, Working paper, 2000)
      The paper shows that the procedure of inflation forecast targeting arguably implemented by Sveriges Riksbank and the Bank of England may lead to high nominal and real variability; the latter being manifested most notably ...
    • Forecasting Cash Use in Legal and Illegal Activities 

      Humphrey, David B.; Kaloudis, Aris; Øwre, Grete (Working Papers;14/2000, Working paper, 2000)
      A general econometric model is developed and used to estimate the share of cash in consumer point-of-sale transactions in Norway over 1980-99. The share of cash fell from 90% during the 1980s to 50% in 1999, primarily due ...
    • When Does the Oil Price Affect the Norwegian Exchange Rate? 

      Akram, Q. Farooq (Working Papers;8/2000, Working paper, 2000)
      Major changes in the Norwegian exchange rate have often coincided with large fluctuations in the price of crude oil. Previous empirical studies have however suggested a weak and ambiguous relation between the oil price and ...
    • Fiscal Policy Under Inflation Targeting 

      Røisland, Øistein; Torvik, Ragnar (Working Papers;15/2000, Working paper, 2000)
      The paper discusses the role of fiscal policy as an instrument for macroeconomic stabilisation when monetary policy pursues inflation targeting. Within a theoretical model of an open economy with a traded and non-traded ...
    • Model Specification and Inflation Forecast Uncertainty 

      Bårdsen, Gunnar; Jansen, Eilev S.; Nymoen, Ragnar (Working Papers;6/2000, Working paper, 2000)
      Three classes of inflation models are discussed: Standard Phillips curves, New Keynesian Phillips curves and Incomplete Competition models. Their relative merits in explaining and forecasting inflation are investigated ...
    • Testing Steady-State Implications for the NAIRU 

      Bårdsen, Gunnar; Nymoen, Ragnar (Working Papers;3/2000, Working paper, 2000)
      Estimates of the NAIRU are usually derived either from a Phillips curve or from a wage curve. This paper investigates the correspondence between the operational NAIRU-concepts and the steady state of a dynamic wage-price ...
    • The Choice of Monetary Policy Regime for Small Open Economies 

      Leitemo, Kai; Røisland, Øistein (Working Papers;5/2000, Working paper, 2000)
      The paper analyses alternative monetary policy regimes within a simple, estimated macroeconomic model with a traded and a non-traded sector. Two general classes of regimes are considered, inflation targeting and exchange ...
    • PPP Despite Real Shocks: An Empirical Analysis of the Norwegian Real Exchange Rate 

      Akram, Q. Farooq (Working Papers;7/2000, Working paper, 2000)
      Despite the emerging consensus on the validity of purchasing power parity (PPP) between trading countries in the long run, empirical evidence in favour of the PPP theory is scarce in data predominantly exposed to real ...
    • Progress from Forecast Failure — the Norwegian Consumption Function 

      Eitrheim, Øyvind; Jansen, Eilev S.; Nymoen, Ragnar (Working Papers;10/2000, Working paper, 2000)
      After a forecast failure, a respecification is usually necessary to account for the data ex post, in which case there is a gain in knowledge as a result of the forecast failure. Using Norwegian consumption as an example, ...
    • Optimal Bailout During Currency and Financial Crises: A Sequential Game Analysis 

      Mundaca, B. Gabriela (Working Papers;13/2000, Working paper, 2000)
      We present a model that illustrates the close relationship between the possibility of a currency crisis and the amount of private-sector debt within a four-stage sequential game framework. The agents are the government and ...
    • Strategic Interaction Between the Fiscal and Monetary Authorities Under Inflation Targeting 

      Leitemo, Kai (Working Papers;9/2000, Working paper, 2000)
      This paper studies the strategic interaction between the fiscal and monetary authorities when the monetary policymaker pursues an underlying inflation target. Given that monetary policy is transparent and the fiscal ...
    • Policy Rules and External Shocks 

      Ball, Laurence (Working Papers;3/2001, Working paper, 2001)
      The decade since 1990 has been a period of innovation in monetary policy. Around the world, many countries have adopted inflation targeting as their basic policy framework. Different countries have tried different techniques ...
    • Explaining the Low US Inflation – Coincidence or “New Economy”? Evidence Based on a Wage-Price Spiral 

      Claussen, Carl Andreas; Staehr, Karsten (Working Papers;2/2001, Working paper, 2001)
      We study possible factors behind the subdued inflation in the United States since the mid-1990s. A standard expectations-augmented Phillips curve does not exhibit structural breaks. However, a wage-price spiral comprising ...
    • Employment Behaviour in Slack and Tight Labour Markets 

      Akram, Q. Farooq; Nymoen, Ragnar (Working Papers;7/2001, Working paper, 2001)
      Empirical and theoretical studies suggest that employment behaviour varies with the state of the labour market since hiring and firings costs depend on the availability of labour. Extending earlier empirical work on this ...
    • Endogenous Product Differentiation in Credit Markets: What Do Borrowers Pay For? 

      Kim, Moshe; Kristiansen, Eirik Gaard; Vale, Bent (Working Papers;8/2001, Working paper, 2001)
      This paper studies strategies pursued by banks in order to differentiate their services and soften competition. More specifically we analyse whether bank's ability to avoid losses, its capital ratio, or bank size can be ...
    • Optimal Exchange Rate Policy: The Case of Iceland 

      Gu∂mundsson, Már; Pétursson, Thórarinn G.; Sighvatsson, Arnór (Working Papers;5/2001, Working paper, 2001)
      This paper analysis the appropriate exchange rate arrangement for Iceland, given its structural characteristics, on the one hand, and the need for a credible nominal anchor for monetary policy, on the other. It also discusses ...
    • Monetary Policy Rules for an Open Economy 

      Batini, Nicoletta; Harrison, Richard; Millard, Stephen P. (Working Papers;4/2001, Working paper, 2001)
      The most popular simple rules for the interest rate, due to Taylor (1993a) and Henderson and McKibbin (1993), are both meant to inform monetary policy in economies that are closed. On the other hand, their main open economy ...
    • Simple Monetary Policy Rules and Exchange Rate Uncertainty 

      Leitemo, Kai; Söderström, Ulf (Working Papers;6/2001, Working paper, 2001)
      We analyze the performance and robustness of some common simple rules for monetary policy in a New-Keynesian open economy model under different assumptions about the exchange rate model. Adding the exchange rate to an ...
    • Monetary Policy in Real Time 

      Qvigstad, Jan F. (Working Papers;1/2001, Working paper, 2001)
      The interest rate is set by the central bank with a view to securing a nominal anchor for the economy in the long term. The setting of interest rates is based on evaluations of economic trends and the balance of risks. In ...