AUTONOMÍA DEL BANCO DE MÉXICO, CRECIMIENTO Y DISTRIBUCIÓN DEL INGRESO

En agosto 1993 se otorgó autonomía al Banco de México y se le confirió el objetivo de mantener una tasa de inflación (π) baja y estable. En el presente artículo se muestra que: a) la tasa de crecimiento (g) de la economía mexicana exhibe una relación no lineal, en forma de U invertida, con π, y que lo mismo sucede con las tasas de crecimiento del sector manufacturero (m) y del sector de servicios financieros y de seguros (sf); b) la π que optimiza g, m y sf es distinta para cada caso, siendo menor y cercana al objetivo de inflación para el caso de sf; c) la tasa de crecimiento de las remuneraciones nominales ha servido como ancla de la inflación y ha conllevado a una redistribución regresiva del ingreso, y d) la consecución de una π baja y estable se ha acompañado de tasas de interés reales altas, lo cual ha deprimido la inversión y la tasa de crecimiento de la productividad laboral. BANCO DE MÉXICO’S INDEPENDENCE, GROWTH AND INCOME DISTRIBUTIONABSTRACTOn August 1993 the Banco de México was granted autonomy and charged with the objective of maintaining a low and stable inflation rate (π). This paper shows that: a) the growth rate (g) of the Mexican economy exhibits a non-linear relationship (an inverted U-shape) with π, and that the same is true of the growth rates of the manufacturing (m), the financial services and the insurance (sf) sectors; b) the π that optimizes g, m and sf is different for each case, being lower and close to the inflation target for the case of sf; c) the growth rate of the nominal remuneration has worked as an inflation anchor and has led to a regressive redistribution of income; and d) the achievement of a low and stable π has been accompanied by high real interest rates, which has depressed both investment and the growth rate of labor productivity.

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Microcredits for Sustainable Development of Small Ukrainian Enterprises: Efficiency, Accessibility, and Government Contribution

Sustainability ◽

10.3390/su12156184 ◽

2020 ◽

Vol 12 (15) ◽

pp. 6184 ◽

Cited By ~ 1

Author(s):

Olexandr Yemelyanov ◽

Tetyana Petrushka ◽

Anastasiya Symak ◽

Olena Trevoho ◽

Anatolii Turylo ◽

...

Keyword(s):

Growth Rate ◽

Sustainable Development ◽

Linear Relationship ◽

Labor Productivity ◽

Small Businesses ◽

State Support ◽

Time Intervals ◽

The Sustainable Development ◽

Methodological Approaches ◽

The Creation

The purpose of the study was to assess the efficiency and accessibility of microcredits for small Ukrainian enterprises and to justify the feasibility of strengthening government contributions in lending to ensure the sustainable development of small businesses. Indicators for evaluating the efficiency and accessibility of microcredits are systematized. Methodological approaches to assessing the efficiency of lending for the creation and development of microenterprises have been improved. A model for evaluating the efficiency of microcredits aimed at the survival of microenterprises in a deteriorating environment was developed. It has been revealed that the level of efficiency of microcredit creation for firms in some time intervals depends quadratically on the share of microcredits in the total amount of funds directed to the creation of firms. A linear relationship between the relative amount of credit received and the growth rate of firms’ assets has also been established. However, there is no significant impact of the microcredit’s amount on labor productivity. A method has been developed for evaluating the budgetary efficiency of microcredits when such a lending is carried out using funds from state or local budgets. It was found that improving these lending conditions through budget financing can significantly increase its attractiveness for microenterprises without significantly reducing the budgetary efficiency of microcredits. This article substantiates the need to strengthen state support for microcrediting of small Ukrainian enterprises in the context of the COVID-19 pandemic.

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Mudharabah Deposits Among Conventional Bank Interest Rates, Profit-Sharing Rates, Liquidity and Inflation Rates

International Journal of Financial Research ◽

10.5430/ijfr.v11n1p25 ◽

2019 ◽

Vol 11 (1) ◽

pp. 25

Author(s):

Caturida Meiwanto Doktoralina ◽

Fikki Mutarotun Nisha

Keyword(s):

Interest Rates ◽

Financial Services ◽

Inflation Rate ◽

Profit Sharing ◽

Way Of Life ◽

Inflation Rates ◽

Public Banks ◽

Positive Effect ◽

Practical Implications ◽

Conventional Bank

This paper aims to examine the effect of conventional bank interest rates (CBIR), profit-sharing rates (PS), the level of liquidity proxied in the finance-to-deposit ratio (FDR) and the inflation rate (IR) against mudharabah deposits (MDs). The sample comes from eight Islamic public banks registered in the Financial Services Authority (OJK) and Bank Indonesia (BI) for the period from 2013 to 2017. The research uses a data panel regression analysis using EViews 8 to test the significance of tribal-level influence on conventional bank interest, profit-sharing growth rate, liquidity level and inflation rate. The results provide evidence that conventional interest rates do not affect MDs; the profit-sharing rate has a significant positive effect on MDs; the FDR has a positive effect on MDs, and the IR does not affect MDs. The results can increase our understanding of the variables that affect the volume of MDs. The results of this research have practical implications for people who will invest, giving them a better basis for making deposit and investment decisions by looking at interest rates and profit-sharing systems that are in line with Islamic investment principles that apply no uncertainty (Garar), interest (Riba) and gambling (Maisir) investments to cover all aspects of life (way of life).

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Chapter II. The World Economy

National Institute Economic Review ◽

10.1177/002795018209900103 ◽

1982 ◽

Vol 99 ◽

pp. 29-50

Keyword(s):

Interest Rates ◽

Growth Rates ◽

World Economy ◽

Full Employment ◽

Oil Prices ◽

Oecd Countries ◽

Fiscal Policies ◽

Real Interest Rates ◽

Monetary Policies ◽

The World

High real interest rates and high rates of unemployment were the main characteristics of the world economy in 1981, with relatively low growth rates as the link between them. Rates of inflation moderated.Since the huge increases in oil prices during 1979 gave a fresh and powerful upward twist to the inflationary spiral, the chief priority of governments in most OECD countries has been to get this turning down again. To this end they have followed strict monetary policies and fiscal policies which despite big budgetary deficits in some countries would be restrictive on a full-employment basis.

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Impact of Non-Performing Loans on Credit Growth in the Banking Industry in Tanzania: 2009 – 2018

Asian Journal of Economics Business and Accounting ◽

10.9734/ajeba/2021/v21i330357 ◽

2021 ◽

pp. 10-18

Author(s):

John P. Lihawa ◽

Deus D. Ngaruko

Keyword(s):

Growth Rate ◽

Regression Analysis ◽

Private Sector ◽

Interest Rates ◽

Inflation Rate ◽

Negative Impact ◽

Gdp Growth ◽

Credit Growth ◽

Gdp Growth Rate ◽

The Impact

This study adopted descriptive statistics and multiple regression analysis in investigating the impact of Non-Performing Loans (NPL) on credit growth to private sector in Tanzania, apart from NPL. The study also investigated the influence of interest rates, inflation rates and GDP on credit advancement to private sector in Tanzania. Using multiple linear regression analysis the study found that both NPL and interest rates have negative impact on the credit growth to private sector in Tanzania, with coefficient values of -0.323 and -0.263 for NPL and interest rate respectively. Furthermore, the study also found that Inflation rate and GDP growth rate have positive impact on the credit growth to private sector in Tanzania with coefficients of 0.247and 0.156 for inflation rate and GDP growth rate respectively. The study found that NPL has a significant negative impact on the credit growth by commercial bank to private sector in Tanzania. These results suggest that the central bank should continue to closely monitor and control the level of NPL in the economy and confine it below the threshold of 5% as stipulated by the BOT and IMF. The study also recommends that commercial banks should ensure that a thorough credit risk assessment is conducted when advancing loans to private sector.

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Discussion on Inflation Target Optimality

Moscow University Economics Bulletin ◽

10.38050/01300105202031 ◽

2020 ◽

Vol 2020 (3) ◽

pp. 3-24

Author(s):

Elena Sinelnikova-Muryleva ◽

Alina Grebenkina

Keyword(s):

Interest Rates ◽

Inflation Rate ◽

Central Banks ◽

Market Frictions ◽

Inflation Target ◽

Study Approach ◽

Nominal Interest Rates ◽

Positive Rate ◽

Financial Market Frictions

The article focuses on the existing gap between theoretically optimal (often close to zero) and empirically observed (targeted by central banks, explicitly positive) rate of inflation. In order to reduce this gap, the article proposes some theoretical explanations of a positive rate of optimal inflation, the main cause of which are labor market frictions, financial market frictions and risk of achieving zero lower bound of nominal interest rates in the economy (also known as ZLB problem). Using a case-study approach, the article shows that ZLB factor contributes to a significant increase of optimal inflation rate in the countries with relevant experience. Consequently, ZLB factor provides a necessary, though not sufficient, argument in central banks’ discussion concerning inflation target.

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The Puzzling Effect Of Money Shocks On Interest Rates

Journal of Applied Business Research (JABR) ◽

10.19030/jabr.v12i2.5826 ◽

2011 ◽

Vol 12 (2) ◽

pp. 46

Author(s):

Panita Piya-Oui ◽

O. Felix Ayadi ◽

Walter J. Mayer

Keyword(s):

Growth Rate ◽

Interest Rates ◽

Money Supply ◽

Inflation Rate ◽

Negative Relationship ◽

Liquidity Effect ◽

Nominal Interest Rates ◽

Real Balances ◽

Lag Structure ◽

Money Shocks

This study reexamines the controversial impact of changes in the growth rate of money supply on short-term nominal interest rates. Most of the early studies consistently find evidence that support a negative relationship between money shocks and interest rates. This relationship reflects the hypothesized liquidity effect. When the Fed accelerates the growth rate in money supply at given prices, output and inflation, the LM curve shifts, and real balances increase. Consequently, nominal an real interest rates are reduced. The results of the finite lag methods vary from one technique to another. However, the general trend points toward the vanishing liquidity effect. An infinite lag method which assumes a quadratic polynomial lag structure is also applied to data from 1972 through 1989. The results show a slight presence of the liquidity effect. The overall results also indicate that inflation rate as well as the variance of inflation rate slightly influence the relationship described above.

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ANALISIS FAKTOR DETERMINAN YANG MEMPENGARUHI TINGKAT INFLASI DI INDONESIA DENGAN ERROR CORRECTION MECHANISM

Jurnal Penelitan Ekonomi dan Bisnis ◽

10.33633/jpeb.v4i2.2547 ◽

2019 ◽

Vol 4 (2) ◽

pp. 120-131

Author(s):

Muhammad Basorudin

Keyword(s):

Growth Rate ◽

Interest Rates ◽

Error Correction ◽

Money Supply ◽

Inflation Rate ◽

Short Term ◽

Equilibrium Fluctuations ◽

Error Correction Mechanism

In general, inflation is considered an important problem that must be resolved given its serious effects such as an unstable economy, rising prices of goods, rising unemployment and other impacts. This study aims to determine the effect of Bank Indonesia Interest Rates on inflation in Indonesia and find out the effect of changes in the money supply in (M2) on inflation in Indonesia. The method used is Error Correction Mechanism (ECM). Based on the model it is known that the BI rate variable has a significant effect on inflation, meaning that the interest rates issued by Bank Indonesia affect the inflation rate in Indonesia. Then, the M2 Growth Rate variable has no significant effect on inflation. The coefficient value of (ECT (-1)) of -0,1921 shows that short-term equilibrium fluctuations will be corrected towards the equilibrium of the long equilibrium around 19.21%. The adjusment process occurs in the first month and the rest is an adjudication process that occurs in the following months.

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THE ROLE OF INCOME DISTRIBUTION IN THE GROWTH-POVERTY NEXUS: EVIDENCE FROM CESEE COUNTRIES, WITH PARTICULAR REFERENCE TO THE MACEDONIAN ECONOMY

EMC Review - Časopis za ekonomiju - APEIRON ◽

10.7251/emc2101123s ◽

2021 ◽

Vol 21 (1) ◽

Author(s):

Dejan Stankov

Keyword(s):

Growth Rate ◽

Income Distribution ◽

Growth Rates ◽

Poverty Reduction ◽

Transition Process ◽

Poverty Rate ◽

Income Growth ◽

Average Income ◽

Analyse Data

The paper explores the income distribution as a channel of transmission of the effects of economic growth on poverty reduction. For that purpose, we analyse data for the CESEE countries with a focus on the Macedonian economy. Since the 1990s, in the transition process to market economies, inequalities within countries in the CESEE region have risen the most. The income distribution achieved in the last decade is not sufficient to neutralise the high inequality created after 1990. The Macedonian economy shows improved income distribution in the last decade as well, which influences the level of poverty. Still, income inequality and the relative poverty rate are among the highest in the CESEE region. The study sheds light on the effects of the predistributive and redistributive factors on the level of inequality and poverty. We consider the extent to which different parts of the income distribution are affected by the process of average income growth. The main conclusion from the empirical analysis for the CESEE countries is that the sign of the growth rate of the average income of the population, in most cases, is an important predictor of the income growth rate of the quintile groups. Correlation results show that the sign of the growth rates of the average income of the population is the most important determinant for the sign of the growth rates of the average income of the quintile group for the quintiles nearest to the average income of the population.

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FINANCIAL DEVELOPMENT DAN PERTUMBUHAN EKONOMI INDONESIA

Jurnal Benefita ◽

10.22216/jbe.v5i2.5333 ◽

2020 ◽

Vol 5 (2) ◽

pp. 140

Author(s):

Yanuar Irzam ◽

Ni Putu Wiwin Setyari

Keyword(s):

Economic Growth ◽

Stock Market ◽

Interest Rates ◽

Financial Development ◽

Labor Productivity ◽

Trade Openness ◽

Bank Credit ◽

Real Interest Rates ◽

Market Capitalization ◽

Stock Market Capitalization

This study aims to analyze the effect of financial development on Indonesia's economic growth using annual data for the 1985-2018 period. The ARDL-ECM model is used to determine the effect in the long term and short term. The results showed in the long run the variable stock market capitalization ratio, the ratio of bank credit to GDP, real interest rates, trade openness and labor productivity affect the economic growth of Indonesia. Variable stock market capitalization ratio significantly influences economic growth, while real interest rates, bank credit ratios to GDP and trade openness have no significant effect. In the short term, the stock market capitalization ratio, bank credit to GDP ratios, real interest rates, trade openness and labor productivity influences Indonesia's economic growth. Variable stock market capitalization ratio, Bank credit ratio to GDP, trade openness and labor productivity have a significant effect on economic growth, while real interest rates have no significant effect on Indonesia's economic growth, The implication of this research is that in order to overcome the impact of interest rates on other economic growth, the government, in this case Bank Indonesia as a regulator, needs to reduce the interest rate to a minimum to encourage the growth of the real sector and other economic variables. In addition, the government must encourage the development of a comprehensive economic system especially financial institutions and monetary policies that are not interest-based as a solution to overcome general economic problems Penelitian ini bertujuan untuk menganalis pengaruh financial development terhadap pertumbuhan ekonomi Indonesia dengan menggunakan data tahunan periode 1985-2018. Model ARDL-ECM digunakan untuk mengetahui pengaruh dalam jangka panjang dan jangka pendek. Hasil penelitian menunjukan dalam jangka panjang variabel rasio kapitalisasi pasar saham, rasio kredit Bank terhadap PDB, suku bunga riil, keterbukaan perdagangan dan produktivitas tenaga kerja berpengaruh terhadap pertumbuhan ekonomi Indonesia. Variabel rasio kapitalisasi pasar saham secara signifikan berpengaruh terhadap pertumbuhan ekonomi, sedangkan suku bunga riil, rasio kredit Bank terhadap PDB dan keterbukaan perdagangan tidak berpengaruh signifikan.Dalam jangka pendek variabel rasio kapitalisasi pasar saham, rasio kredit Bank terhadap PDB, suku bunga riil, keterbukaan perdagangan dan produktivitas tenaga kerja berpengaruh terhadap pertumbuhan ekonomi Indonesia. Variabel rasio kapitalisasi pasar saham, rasio kredit Bank terhadap PDB, keterbukaan perdagangan dan produktivitas tenaga kerja berpengaruh signifikan terhadap pertumbuhan ekonomi. Sedangkan suku bunga riil tidak berpengaruh signifikan terhadap pertumbuhan ekonomi Indonesia, Untuk itu, dalam mengatasi dampak suku bunga terhadap pertumbuhan ekonomi lainnya maka pemerintah dalam hal ini Bank Indonesia sebagai regulator perlu menurunkan tingkat suku bunga sampai batas minimal untuk mendorong pertumbuhan sektor riil serta variabel ekonomi lainnya. Selain itu, pemerintah harus mendorong pengembangan sistem ekonomi secara komprehensif khususnya lembaga keuangan dan kebijakan moneter yang tidak berbasis bunga sebagai solusi untuk mengatasi permasalahan ekonomi secara umum

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Dynamic inefficiency and fiscal interventions in an economy with land and transaction costs

German Economic Review ◽

10.1515/ger-2020-0110 ◽

2021 ◽

Vol 0 (0) ◽

Author(s):

Martin F. Hellwig

Keyword(s):

Interest Rates ◽

Growth Rates ◽

Public Debt ◽

Real Interest Rates ◽

Fiat Money ◽

Dynamic Inefficiency ◽

Resource Cost ◽

Real Growth ◽

Pareto Improvements ◽

Debt Policy

Abstract The paper contributes to the discussion on whether real interest rates below real growth rates can be taken as evidence of dynamic inefficiency so that some fiscal intervention may be called for. A seemingly killing objection points to land, a non-produced durable asset in positive supply, as a reason why dynamic inefficiency can be ruled out. If real interest rates were expected to be below real growth rates forever, the value of land would be unbounded, which is incompatible with equilibrium. The paper shows that this objection is not robust to the presence of an arbitrarily small per-unit-of-value transaction cost. The paper also specifies fiscal interventions that provide for Pareto improvements even though they involve a resource cost. For the debate about public debt policy, the land argument is a red herring because it is incompatible with the presence of fiat money and debt denominated in units of fiat money.

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