scholarly journals Fund Management And the Liquidity of The Bank

2014 ◽  
Vol 16 (3) ◽  
pp. 231-258 ◽  
Author(s):  
Gantiah Wuryandani ◽  
Ramlan Ginting ◽  
Dudy Iskandar ◽  
Zulkarnain Sitompul

This paper analyzes the liquidity of banks, both precautionary and involuntary liquidity. We apply dynamic panel estimation on individual bank data covering the period of Januari 2002 to November 2011.  The result shows that precautionary liquidity is more determined by the operation of the bank. On the other hand, the involuntary liquidity is more affected by the financial system condition. Related to the size, the  effect of the financial system condition and the macroeconomy is larger for the small banks. Moreover, the monetary policy in the form minimum reserve requirement affects the precautionary liquidity of the small banks; while the central bank rate is less influential to the bank liquidity.  Keywords: Banking, Liquidity, General Method of MomentJEL classification: G21, G11, C33

2014 ◽  
Vol 16 (3) ◽  
pp. 247-276
Author(s):  
Gantiah Wuryandani ◽  
Ramlan Ginting ◽  
Dudy Iskandar ◽  
Zulkarnain Sitompul

This paper analyzes the liquidity of banks, both precautionary and involuntary liquidity. We apply dynamic panel estimation on individual bank data covering the period of Januari 2002 to November 2011.  The result shows that precautionary liquidity is more determined by the operation of the bank. On the other hand, the involuntary liquidity is more affected by the financial system condition. Related to the size, the  effect of the financial system condition and the macroeconomy is larger for the small banks. Moreover, the monetary policy in the form minimum reserve requirement affects the precautionary liquidity of the small banks; while the central bank rate is less influential to the bank liquidity.  Keywords: Banking, Liquidity, General Method of Moment  JEL classification: G21, G11, C33


2019 ◽  
Vol 2 (2) ◽  
Author(s):  
Dian Ariani

ABSTRACT This study analyzes bank liquidity, both precautionary and involuntary liquidity. This study uses dynamic panel estimation on individual bank data covering 2002 to 2011. The results show that preventive liquidity is more determined by the operation of the bank. On the other hand, involuntary liquidity is more influenced by the condition of the financial system. Regarding size, the effect of financial and macroeconomic system conditions is greater for small banks. In addition, monetary policy in the form of minimum reserve requirements affects precautionary liquidity from small banks; while the central bank's interest rates have less influence on bank liquidity. Keywords: bank liquidity, monetary policy, financial system


2020 ◽  
Vol 17 (2) ◽  
pp. 171-182
Author(s):  
Peter Bofinger

The paper discusses the monetary policy of the European Central Bank (ECB) under the presidency of Mario Draghi. It first shows the serious mistakes made under his predecessor, Jean-Claude Trichet, during which period the ECB destabilized rather than stabilized. Draghi, on the other hand, embarked on a more expansive course immediately after taking office, thereby securing the existence of the euro in a very threatening situation. In 2014, he then identified the deflationary risks for the eurozone at an early stage and successfully countered them with massive bond purchases. The undesirable developments for the financial system and especially the banks predicted by his critics, who are to be found primarily among German economists, have not materialized.


Liquidity ◽  
2016 ◽  
Vol 5 (1) ◽  
pp. 53-64
Author(s):  
Yumniati Agustina

Investigation in various regions in Indonesia found indications of the alleged fraud that result from unccountable use and management of BOS funds. Among the findings, including payments that do not fit the technical guidelines, no accountability report, and the use of funds with unaccountable receipt. In the Regulation of the Minister of Education and Culture of the Republic of No. 161/2014, stated that: BOS is a government program that is basically forfunding the nonpersonnel operating costs of the primary education as the implementer of compulsory education program. The purpose of this study were (1) to analyze the accounting cycle and financial accountability for the use of BOS funds in the 2015, (2) to analyze the compliance of the accounting cycle and financial accountability of the BOS funds, (3) to analyze the transparency and accountability of BOS fund’s reports. The observed elementary school is SDIT X in Depok, West Java. Result shows that they do not fully compliance to the appropriate regulatory technical guidelines. On the other hand, the transparency and accountability issues show that: (1) BOS Management Team, Teachers Council and School’s Committee’s involvement in the BOS fund management, and (2) evaluation and comparison of the final report of prior periods, so that transparency and accountability of the use and management of BOS funds can be improved.


2018 ◽  
Vol 68 (s1) ◽  
pp. 125-139
Author(s):  
Jerzy Hausner ◽  
Andrzej Sławiński

In our paper we focus on situations when central banks have to conduct monetary policy in a world in which they cannot rely fully on what is regarded the best practice and they have to cope with financial system inherent tendency to be unstable. Both phenomena are rooted in János Kornai’s intellectual heritage highlighting that economy tends to divert from equilibrium and that soft budget constraint erodes economic actors’ behavior.


1956 ◽  
Vol 29 (2) ◽  
pp. 427-437
Author(s):  
D. J. Angier ◽  
W. F. Watson

Abstract The softening of elastomers on cold milling results from scission of the polymer molecules by the applied shearing forces. The ruptured chains are free radicals, which can undergo mutual combination, interaction with oxygen and various additives, and branching (grafting) on to other polymer molecules. A general method of producing graft and block interpolymers between elstomers is therefore indicated, namely, to cold-mill the polymers together in the absence of small molecules which can terminate the polymeric radicals in order that the radicals may cross-terminate or graft onto the polymer molecules of the other type. A survey of several pairs of the commercially important elastomers, natural rubber, butadiene-styrene, Neoprene, and butadiene-acrylonitrile, has shown that cold milling does effect interlinking. Detailed results for the rubber-Neoprene system are reported in this communication. Experimental verification of polymer interlinking was obtained from the solubility properties of the milled elastomers. Cold milling of Neoprene under nitrogen produces gel, whereas of natural rubber does not, but the milling of mixtures gives gels containing natural rubber. Also, the solubilities and precipitation of the milled mixtures cannot be accounted for by these properties of the individual polymers. Finally, Neoprene-natural rubber mixtures, after and not before cold-milling, can be cross-linked by magnesium oxide, with rubber bound into the vulcanizate.


1984 ◽  
Vol 1984 (1) ◽  
pp. 249 ◽  
Author(s):  
Thomas D. Simpson ◽  
Alan S. Blinder

Author(s):  
Elena Lutskaya ◽  

The article examines the views of Western researchers on overcoming the COVID-19 crisis and its consequences. The main focus is on the monetary policy of the Federal Reserve system - the most developed financial system that affects both the US economy and global markets.


2017 ◽  
Vol 9 (3) ◽  
pp. 38 ◽  
Author(s):  
Nikolaos A. Kyriazis ◽  
Emmanouil M. L. Economou

Although unconventional measures by the ECB have been very extensive so as to fortify the Eurozone’s financial system the question of whether more drastic measures are necessary, is at the forefront of newly aroused academic debate. This paper’s main effort is to conceptualize helicopter drops in the Eurozone before hindsight in order to shed some light on how feasible are more drastic measures for the Eurozone and how they could further attenuate moral hazard problems. An early understanding of overt money financing will help in better driving monetary policy and emphasize whether the benefits of more and free money printing could bring about a heal for the wreckages of the EU membership status.


2005 ◽  
Vol 08 (04) ◽  
pp. 707-731 ◽  
Author(s):  
Donghyun Park ◽  
Junggun Oh

Korea's financial crisis of 1997–1998 was brought about by the unsustainable combination of large capital inflows and an inefficient financial system. The Bank of Korea contributed to the crisis primarily through its failures as the regulator of the financial system rather than as the conductor of monetary policy. Our paper explores the role of the two major monetary policy reforms Korea has implemented in response to the crisis — the establishment of a new financial regulator and the adoption of inflation targeting — in Korea's efforts to build a stronger and more efficient financial system, thereby preventing crises in the future.


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