“Financial Markets, Financial Policy, and Macroeconomic Activity”

2014 ◽  
Vol 68 ◽  
pp. iii
Keyword(s):  
Financial Markets ◽  
Financial Policy ◽  
Macroeconomic Activity

scholarly journals Transformation of the agricultural financial system in the age of globalisation

2017 ◽  
Vol 63 (No. 12) ◽  
pp. 548-558 ◽  
Author(s):  
Brzozowska Anna ◽  
Bubel Dagmara ◽  
Kalinichenko Antonina ◽  
 Nekrasenko Larysa
Keyword(s):  
Economic Growth ◽  
Financial Markets ◽  
Capital Flows ◽  
Financial Integration ◽  
Financial System ◽  
The Other ◽  
Financial Policy ◽  
Financial Flows ◽  
European Agriculture ◽  
Financial Globalisation

The paper is an attempt to address the advantages and risks connected with the wave of financial globalisation, with a focus on its impact on financial policy in European agriculture. The aim of the paper is to identify the basic conditions of the functioning and change of the financial system of agriculture under the conditions of the globalisation of financial markets. Financial globalisation, also referred to as financial integration or openness, is understood as an increase in global ties and interdependences caused by capital flows. Potentially, globalisation can bring a lot of benefits, which are manifested in an acceleration of economic growth and decreased fluctuation in consumption, which should further improve the level of overall prosperity. On the other hand, however, internationalisation of financial flows entails a range of threats, including the possibility of crisis.

scholarly journals The Insurance Value of Trade Credit

2019 ◽  
Vol 11 (7) ◽  
pp. 87
Author(s):  
Mario Eboli ◽  
Andrea Toto
Keyword(s):  
Financial Markets ◽  
Financial Constraints ◽  
Trade Credit ◽  
Credit Rationing ◽  
Financial Policy ◽  
Positive Probability ◽  
Optimal Amount ◽  
Liquidity Constraint ◽  
Manufacturing Sectors ◽  
Liquidity Shock

The extensive use of trade credit in all manufacturing sectors, despite its high cost, is an apparent puzzle that economists explain in terms of asymmetric information problems affecting financial markets. The financial constraints arising from credit rationing and limited access to stock markets suffice to induce firms to resort to trade credit as a supplemental source of funding. Nonetheless, empirical evidence shows that also large and liquid firms facing no binding financial constraints use substantial amounts of trade credit. We address this issue by modelling the financial policy of a firm that does not face a binding liquidity constraint but the risk of being constrained in the future. We characterise the optimal amount of trade credit held by such a firm, and we show that a positive probability of facing a liquidity constraint leads the firm to fund its inventories with trade credit, even if cheaper sources of funds are available. The rationale is that trade credit provides implicit coverage against liquidity risk. Therefore, the optimal amount of trade credit grows with the expected size of a possible liquidity shock and with the likelihood of its occurrence.

scholarly journals Cognitive Modeling of Sustainability of the Russian Financial Market

2019 ◽  
Vol 10 (6) ◽  
pp. 145
Author(s):  
Nemer Badwan ◽  
Elena Panfilova
Keyword(s):  
Financial Markets ◽  
Financial Market ◽  
Cognitive Modeling ◽  
Foreign Exchange Market ◽  
Cumulative Effect ◽  
Financial Policy ◽  
Constant Attention ◽  
Priority Direction ◽  
The Stability ◽  
Near Future

Object: The stability of the financial market is one of the most important components of the inflow of capital into the country and ensuring economic growth. Cognitive modeling of stability of the Russian financial market is carried out.Purposes: Drawing up a cognitive map of the Russian financial market, impulse modeling of changes in its segments in order to find the main factors of stability of the national financial market.Methodology: Cognitive research methods: cognitive analysis and cognitive modeling.Result of research: The stability of the financial market is formed due to the cumulative effect of all its segments. However, the Russian financial market is most sensitive to changes in the money market, foreign exchange market, corporate and government borrowing market. Despite the sanction’s restrictions, the domestic market remains dependent on international financial markets.Application: The results are applicable in the formation of financial and monetary policy of the country.Summary: Achieving stability in the financial market requires constant attention from the regulator for liquidity in the market, stability and predictability of the national currency. The priority direction of development of the state financial policy in the near future should be the establishment of relations with leading players in the world financial markets and international financial institutions.

The role of financial policy

2018 ◽  
Vol 6 (4) ◽  
pp. 446-460 ◽  
Author(s):  
Roger E.A. Farmer
Keyword(s):  
Financial Markets ◽  
Economic Activity ◽  
Presidential Address ◽  
Central Banking ◽  
Financial Policy ◽  
American Economic Association ◽  
General Equilibrium Theory ◽  
Economic Association ◽  
Monetary Rules

I review the contribution and influence of Milton Friedman's 1968 presidential address to the American Economic Association. I argue that Friedman's influence on the practice of central banking was profound and that his arguments in favour of monetary rules were responsible for 30 years of low and stable inflation in the period from 1979 through 2009. I present a critique of Friedman's position that market economies are self-stabilizing and I describe an alternative reconciliation of Keynesian economics with Walrasian general equilibrium theory from that which is widely accepted today by most neoclassical economists. My interpretation implies that government should intervene actively in financial markets to stabilize economic activity.

EMI Group PLC

2017 ◽  
pp. 1-19
Author(s):  
Michael J. Schill ◽  
Elizabeth Shumadine
Keyword(s):  
Financial Markets ◽  
Dividend Policy ◽  
Balance Sheet ◽  
Financial Policy ◽  
Digital Audio ◽  
Beach Boys ◽  
Pink Floyd ◽  
British Music ◽  
Corporate Financial Policy ◽  
The Right

This case examines the April 2007 decision of British music company EMI to suspend its annual dividend as the company struggled to respond to the effect of digital audio distribution on its core business. The EMI case is intended to serve as an engaging introduction to corporate financial policy and themes in managing the right side of the balance sheet. The case contrasts EMI's storied success with artists such as the Beatles, the Beach Boys, Pink Floyd, and Norah Jones with its recent inability to succeed in financial markets. In light of takeover threats and restructuring costs, EMI's CFO Martin Stewart must recommend EMI's dividend policy.

Gerechtigkeit und Effizienz – Optionen für eine gerechte internationale Finanzordnung

2003 ◽  
Vol 47 (1) ◽  
pp. 210-222
Author(s):  
Martin Büseher ◽  
Lukas Menkhoff
Keyword(s):  
Financial Markets ◽  
Central Issue ◽  
International Financial Markets ◽  
Financial Policy ◽  
Social Policies ◽  
Economic Ethics ◽  
Ethical Aspects ◽  
Value Judgements ◽  
Scientific Technical

AbstractThis article about a just interntional financial order is centered on the gap between a normative and a scientific-technical perspective. Instruments of financial policy are connected to concepts of economic ethics to give a more differentiated view about the ethical and economic elements in the discussion about regulating international financial markets. The central issue is in relating economic concepts and the implicit value judgements. This frequent antagonism could also be transferred to sectors of tax-, growthor social policies where economic and ethical aspects are juxtaposed.

‘Domestic Bank-Centered’ Financial Liberalization: Origin, Crisis, and Response

2005 ◽  
Vol 6 (1) ◽  
pp. 111-135 ◽  
Author(s):  
SHALE HOROWITZ
Keyword(s):  
Financial Markets ◽  
Currency Crises ◽  
Financial Liberalization ◽  
Domestic Politics ◽  
Value Added ◽  
Crisis Response ◽  
Economic Effects ◽  
Financial Policy ◽  
Domestic Banks ◽  
Initial Pattern

Existing explanations of international financial liberalization tend to understate the economic and political importance of related policies governing domestic financial markets. Further, these approaches often fail to specify fully the links between the international economy and domestic politics. Initial financial liberalization is often ‘domestic bank-centered’, i.e. it preserves a privileged position for weakly regulated domestic banks as the capital account is opened. On the other hand, there is much greater variation in later-stage financial policy developments, particularly following banking or currency crises. Adequate explanations should be able to explain, not just the initial pattern of financial liberalization, but also subsequent policy developments. This paper's main refinement is to explore the nature and implications of ‘dispersed’ interest group preferences. Initially more passive, poorly organized dispersed groups are viewed as the key link between the economic effects of crisis and variation in crisis-response policies. The explanatory value-added is explored through case studies of financial sector policy change in South Korea, Mexico, and Hungary.

scholarly journals Financial policy regarding the categorization of individual investors in Russia and the area of protecting their interests

2020 ◽  
Vol 18 (4) ◽  
pp. 19-35
Author(s):  
Irina G. Gorlovskaya
Keyword(s):  
Financial Markets ◽  
Financial Market ◽  
Securities Market ◽  
Financial Policy ◽  
Individual Investors ◽  
Financial Risks ◽  
Financial Instruments ◽  
Basic Principles ◽  
The Face ◽  
Areas Of Protection

Development of modern economy and financial market is impossible without involving the mass investor in investment processes. This is the goal of the state's financial market policy. The need to preserve savings in the face of a reduction in the key rate, and therefore a decrease in interest, encourages individuals to invest more actively in securities. New investors come to the securities market, but they are not always able to adequately assess the risk of investing in securities. To reduce the risks of individual investors, there is used a categorization mechanism, which divides them into qualified and unqualified investors, but requires improvement. Based on the analysis, it is proved that the categorization of investors cannot be limited by the regulation of the criteria for their differentiation and requires specifying the areas of protection of the interests and rights of investors. The study is based on the pragmatic Solow-Williamson methodology and a systematic approach. The indicators of investor activity and indicators characterizing the degree of investor protection in the Russian securities market are analyzed. As a result, the problems of modern categorization of individual investors in the Russian Federation are identified and analyzed. The main areas of protection of investors' interests and rights are identified, including: the choice of a financial instrument; ensuring ownership of financial instruments; transactions with financial instruments; protection from misseling; disclosure of information by issuers and professional subjects of financial markets; illegal actions of professional subjects of financial markets in relation to financial risks and protection tools. Areas of protection of investors' interests and rights are correlated with risks and protection tools. There were defined basic principles of categorization of investors-individuals.

scholarly journals Problems of regulating financial markets as part of the green economy

2019 ◽  
Vol 110 ◽  
pp. 02035
Author(s):  
Dilyara Abdrakhmanova ◽  
Elena Karasik ◽  
Lenar Safiullin ◽  
Alexandra Scharonova
Keyword(s):  
Financial Markets ◽  
Financial Market ◽  
Green Economy ◽  
Financial Supervision ◽  
Financial Policy ◽  
Economic Systems ◽  
Contemporary World ◽  
Regulation Of Financial Markets ◽  
The World ◽  
The Stability

The development of economic processes in the contemporary world requires symmetrical efforts to guarantee the stability of markets as a whole and financial market in particular in the green economy. The development of financial markets happens depending on the evolution of economic systems and vice versa. In this connection, the issues of the adequate evolution of financial supervision become very urgent. The article considers the activity of the mega-regulator in Russia in the context of the world experience of active financial policy and regulation of financial markets in the green economy. The conceptual vision of the development of the mega-regulation of financial markets as immanent institute in the socio-economic system is stated.

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