Rethinking Empirical Evidence of Money Non-Neutrality in the Economy

2019 ◽  
Vol 7 (3) ◽  
pp. 51-56
Author(s):  
Иван Павлов ◽  
Ivan Pavlov
Keyword(s):  
Monetary Policy ◽  
Money Supply ◽  
Empirical Data ◽  
Real Output ◽  
Money Income ◽  
Real Situation ◽  
Relative Prices ◽  
The Real ◽  
The One ◽  
The Impact

The article rethinks the empirical data of non-neutrality of money in the economy. According to modern empirical data, there is a relationship between the money supply and the real variables — real output, unemployment and relative prices. However, the understanding of the fact that the money supply is a nominal variable, which cannot be related to the real situation of the economy. These considerations raise doubts about the existence of above-mentioned dependence. Moreover, the paper proves that the changes of money supply do not affect the real variables. These arguments cause the need to rethink the empirical data of non-neutrality of money in the economy. Further analysis shows that another parameter has impact on real variables — agents ‘purchasing power of money (income). This variable changes simultaneously with the change in money supply and this variable is the one that influences the real variables. Thus, the impact of monetary policy on the economic system is only through the redistribution of income between agents. As a result, monetary policy is only a less effective fiscal policy.

scholarly journals The Contribution of Monetary Policy to Mitigating the Consequences of the World Economic Crisis in Poland

2019 ◽  
Vol 57 (3) ◽  
pp. 329-350
Author(s):  
Vlado Vujanić ◽  
Dragan Gligorić ◽  
Nikola Žarković
Keyword(s):  
Monetary Policy ◽  
Exchange Rate ◽  
Interest Rate ◽  
Real Exchange Rate ◽  
Money Supply ◽  
Economic Activity ◽  
The Real ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
The Impact

AbstractThe economic authorities of each country seek to maintain the expansion phase through the implementation of various economic policy measures, namely, to prevent or mitigate the recessionary phase in economic development. In that context, it is of considerable importance to understand how monetary policy decisions affect the movement of macroeconomic variables. The paper aims to examine and evaluate the contribution of monetary policy to mitigating the effects of the global economic and financial crisis, using the Autoregressive Distributed Lag model, by analysing the impact of the real exchange rate, reference interest rate and money supply on the level of economic activity in Poland. Econometric analysis encompasses the period from 2006 to 2017. The research results suggest that there is a significant relationship between real economic activity and the real exchange rate both in the short and long term, but not between the reference interest rate and the money supply.

Reducing the Risks of the Financial Sector to Ensure Sustainable Growth of the Russian Еconomy

2019 ◽  
Vol 12 (3) ◽  
pp. 86-92
Author(s):  
T. I. Minina ◽  
V. V. Skalkin
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Financial Sector ◽  
Developed Countries ◽  
Sustainable Growth ◽  
Necessary Condition ◽  
Real Sector ◽  
Financial Instruments ◽  
The Real ◽  
The Impact

Russia’s entry into the top five economies of the world depends, among other things, on the development of the financial sector, being a necessary condition for the economic growth of a developed macroeconomic and macro-financial system. The financial sector represents a system of relationships for the effective collection and distribution of economic resources, their deployment according to public demand, reducing the risk of overproduction and overheating of the economy.Therefore, the subject of the research is the financial sector of the Russian economy.The purpose of the research was to formulate an approach to alleviating the risks of increasing financial costs in the real sector of the economy by reducing the impact of endogenous risks expressed as financial asset “bubbles” using the experience of developed countries in the monetary policy.The paper analyzes a macroeconomic model applied to the financial sector. It is established that the economic growth is determined by the growth and, more important, the qualitative development of the financial sector, which leads to two phenomena: overproduction in the real sector and an increase in asset prices in the financial sector, with a debt load in both the real and financial sectors. This results in decreasing the interest rate of the mega-regulator to near-zero values. In this case, since the mechanisms of the conventional monetary policy do not work, the unconventional monetary policy is used when the mega-regulator buys out derivative financial instruments from systemically important institutions. As a conclusion, given deflationally low rates, it is proposed that the megaregulator should issue its own derivative financial instruments and place them in the financial market.

The Supply-Demand Research of Cultural and Tourism Industries Policies in China with the Impact of COVID-19

2020 ◽  
Vol 11 (1) ◽  
pp. 24-24
Author(s):  
Dr. Jianfei Yang
Keyword(s):  
Tourism Industry ◽  
Chinese Government ◽  
Cultural Industries ◽  
Real Situation ◽  
The Real ◽  
The World ◽  
The Impact ◽  
Near Future ◽  
Post Period

COVID-19 has made a bad influence on economic and society including cultural and tourism industry in China，2020.The industry has received a huge loss in the first quarter of the year and the situation is getting worse in the near future. It is believed that there will be a long impact for the country even the world. In order to recover the industry, Chinese government has published series of policies to support the enterprises and clusters to reduce the bad influence of COVID-19. This paper mainly uses filed survey and documentary research to map the real situation of the industry. It tries to find the policy demand of the industries and then analyze the policies published by government to conquer COVID-19. Meanwhile it will focus on whether the supply meet the demand and give suggestions on how to promote the policy efficiency in the post period of COVID-19 in China. Keywords: Evaluation; Cultural Industries; Policy; Park; Pandemic

PP469 From Theory To Practice: Which Value Framework Is Applied For Onco-Hematology Therapies In Italy? A 5-year Retrospective Analysis

2020 ◽  
Vol 36 (S1) ◽  
pp. 37-37
Author(s):  
Americo Cicchetti ◽  
Rossella Di Bidino ◽  
Entela Xoxi ◽  
Irene Luccarini ◽  
Alessia Brigido
Keyword(s):  
Real World ◽  
Ad Hoc ◽  
Grey Literature ◽  
National Level ◽  
Pharmaceutical Products ◽  
European Medicines Agency ◽  
The Real ◽  
R Process ◽  
The One ◽  
The Impact

IntroductionDifferent value frameworks (VFs) have been proposed in order to translate available evidence on risk-benefit profiles of new treatments into Pricing & Reimbursement (P&R) decisions. However limited evidence is available on the impact of their implementation. It's relevant to distinguish among VFs proposed by scientific societies and providers, which usually are applicable to all treatments, and VFs elaborated by regulatory agencies and health technology assessment (HTA), which focused on specific therapeutic areas. Such heterogeneity in VFs has significant implications in terms of value dimension considered and criteria adopted to define or support a price decision.MethodsA literature research was conducted to identify already proposed or adopted VF for onco-hematology treatments. Both scientific and grey literature were investigated. Then, an ad hoc data collection was conducted for multiple myeloma; breast, prostate and urothelial cancer; and Non Small Cell Lung Cancer (NSCLC) therapies. Pharmaceutical products authorized by European Medicines Agency from January 2014 till December 2019 were identified. Primary sources of data were European Public Assessment Reports and P&R decision taken by the Italian Medicines Agency (AIFA) till September 2019.ResultsThe analysis allowed to define a taxonomy to distinguish categories of VF relevant to onco-hematological treatments. We identified the “real-world” VF that emerged given past P&R decisions taken at the Italian level. Data was collected both for clinical and economical outcomes/indicators, as well as decisions taken on innovativeness of therapies. Relevant differences emerge between the real world value framework and the one that should be applied given the normative framework of the Italian Health System.ConclusionsThe value framework that emerged from the analysis addressed issues of specific aspects of onco-hematological treatments which emerged during an ad hoc analysis conducted on treatment authorized in the last 5 years. The perspective adopted to elaborate the VF was the one of an HTA agency responsible for P&R decisions at a national level. Furthermore, comparing a real-world value framework with the one based on the general criteria defined by the national legislation, our analysis allowed identification of the most critical point of the current national P&R process in terms ofsustainability of current and future therapies as advance therapies and agnostic-tumor therapies.

scholarly journals Effect of Money Supply on the Stock Market

2017 ◽  
Vol 65 (2) ◽  
pp. 465-472 ◽  
Author(s):  
Vladimír Pícha
Keyword(s):  
Monetary Policy ◽  
Stock Market ◽  
Money Supply ◽  
Policy Framework ◽  
Vector Error Correction ◽  
Flow Of Funds ◽  
Portfolio Balance ◽  
Vector Error ◽  
Long Run ◽  
The Impact

This paper observes effect of money supply on the stock market through the portfolio balance channel as a transmission mechanism of monetary policy. National flow of funds accounts, specifically assets from US households’ portfolios, represent a key data source. Johansen’s cointegration methodology is employed in the empirical part of the paper to analyze both short term and long term relationships among researched variables. Estimates of vector error correction model help to reliably quantify intensity of the effect. Results show money supply excercises influence on valuation of S&P 500 index with 6 months lag. The impact is also distinguishable in the long run, whereas all observed asset classes can positively influence price of S&P 500. Findings are then contextualized in the concluding part of the paper using a monetary policy framework.

scholarly journals Impacts of Monetary Policy on Inflation in Bangladesh

2012 ◽  
Vol 1 (2) ◽  
pp. 103-119
Author(s):  
Mohammad Nayeem Abdullah ◽  
Kamruddin Parvez ◽  
Rahat Bari Tooheen
Keyword(s):  
Monetary Policy ◽  
Money Supply ◽  
Consumer Price Index ◽  
Developed Countries ◽  
Open Market ◽  
Major Transitions ◽  
Classification Code ◽  
Inflation Rates ◽  
The Developed Countries ◽  
The Impact

The objective of this paper is to analyze and discuss the impacts of monetary policy on Bangladesh inflation, identify the major drawbacks of the policies in minimizing the inflation rate and suggest policy recommendations on some key issues of Bangladesh inflation. To estimate the effects of the monetary policy in Bangladesh, at first the impact of different monetary policy tools used by the “Central Banks” of the developed countries have been reviewed. Next, the impact of the monetary policy of Bangladesh Bank and government have been analyzed for which the data on money supply, growth of the GDP, changes in the price level, and changes in the unemployment rate have been quantitatively analyzed. We mainly used Consumer Price Index to determine the level on inflation in Bangladesh. Moreover, our study focuses on data collected from the 1950-2012, mainly focusing our study from the period of 2000-2012 as major transitions have been observed in the economy during the 12 years. We have further analyzed whether there is any correlation between (i) inflation rates and money supply, and (ii) inflation rates and growth of GDP. On the basis of the outcome of the qualitative and quantitative analysis, in the end findings and conclusion have been drawn. We have found the correlation, the impacts of monetary policy and inflation, their drawbacks and possible solutions such as independence of the monetary policy from the fiscal policy and enhancing the transparency, communication and signaling effect of policy moves, keeping the broad money in line with the estimated real GDP growth, borrowing from non-bank sources, and control money supply through various open market operations. Due to lack of access to sufficient data, some of our work is based on hypothesis and models. So some data vary according to the model being used. Lastly, even though, many works have been done from the perspective of developed and other developing countries, much work has not been carried out to establish the relationship between monetary policy and inflation in Bangladesh. GEL Classification Code: E31; E42; E50

scholarly journals Monetary Policy and Liquidity of Vietnam’s Stock Market

2016 ◽  
Vol 23 (02) ◽  
pp. 02-21
Author(s):  
Ly Tran Thi Hai
Keyword(s):  
Time Series ◽  
Monetary Policy ◽  
Stock Market ◽  
Money Supply ◽  
Industrial Production ◽  
Market Liquidity ◽  
Var Model ◽  
Market Returns ◽  
Liquidity Measures ◽  
The Impact

This study investigates the impact of monetary policy on liquidity of Vietnam’s stock market from September 2007 to November 2014. Time series of liquidity are determined by monthly liquidity data for 643 enterprises in the surveyed period. Two variables of the monetary policy, including growth in money supply and interbank rate, are employed in VAR model along with four different measures of market liquidity. The results show that unexpected variance in the two monetary policy variables has no significant impact on the market liquidity, which, in turn, may be improved by the positive shocks of market returns, inflation, and growth in industrial production. Market variance does produce certain effects, but discrepancies occur in the signs of various liquidity measures.

scholarly journals THE FORMATION OF PROFESSIONAL TALENT IN DETERMINATION WITH SEMANTIC ATTITUDE TO INNOVATIONS UNDER THE INFLUENCE OF VARIOUS DEGREES OF FREEDOM IN ACTIVITY

2020 ◽  
Vol 17 (4) ◽  
pp. 91-101
Author(s):  
T.N. Soboleva ◽  
Keyword(s):  
Empirical Data ◽  
Degrees Of Freedom ◽  
The Other ◽  
Psychological Analysis ◽  
Other Hand ◽  
Professional Talent ◽  
The One ◽  
The Impact ◽  
Three Degrees Of Freedom

The article is devoted to the poorly studied problem of the formation of talent in the conditions of different degrees of freedom in activity and the impact on that formation of a person’s conservative and innovative semantic attitudes towards the introduction of new equipment. The main objective of the study is to describe how the conditions of different degrees of freedom in the activity are refracted with internal conditions, which are conservative and innovative semantic attitudes and various talent structures. The study was conducted on a sample of 54 qualified railway drivers using a specialized simulator which allows to simulate three degrees of freedom in the activity. The psychological analysis of the activity revealed seven abilities ensuring the implementation of the activity. Based on empirical data, the article shows that low, medium and high degrees of freedom in activity are manifested in different degrees of productivity. Conservative and innovative semantic attitudes to the introduction of new equipment do not have a significant effect on the productivity of the activity in the conditions of different degrees of freedom. Along with this, depending on the conservative and innovative semantic attitudes, different structures of talent in terms of composition and degree of integration under the conditions of different degrees of freedom in the activity are formed. On the one hand, conservative and innovative semantic attitudes act as internal determinants; on the other hand, low, medium and high degrees of freedom in the activity act as external determinants of the formation of various talent structures.

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