scholarly journals Applications of DSGE Models in Central Banking: Key Issues Explored During Research Workshop of the National Bank of Ukraine

2018 ◽  
pp. 4-9
Author(s):  
Sergii Kiiashko
Keyword(s):  
Policy Analysis ◽  
Central Banking ◽  
Dsge Models ◽  
Research Workshop ◽  
National Bank ◽  
Key Issues ◽  
Dsge Modeling

This paper reviews a research workshop that was held by the National Bank of Ukraine (NBU) in November 2018 on the application of DSGE models in central banking. We summarize the discussion of the advantages and drawbacks of DSGE modeling and potential ways to resolve issues and improve the models. Furthermore, this paper provides guidance on using DSGE models for forecasting and policy analysis.

Trust and Social Capital

2009 ◽  
pp. 75-91
Author(s):  
Ben Kei Daniel
Keyword(s):  
Social Capital ◽  
Economic Development ◽  
Policy Analysis ◽  
Social Institutions ◽  
Wide Spread ◽  
Key Issues ◽  
Trusting Relationships ◽  
Definition Of ◽  
Computational Systems

Regardless of any approach taken for examining social capital, researchers continuously converge on some key issues such as trust and yet diverge on several others about concrete and consistent indicators for measuring social capital. Many researchers believe that presence or absences of social capital can be solely linked to trusting relationships people build with each other as well as social institutions of civil engagement. It is not clearly known however, whether trust itself is a precondition for generating social capital or whether there are other intermediary variables that can influence the role of trust in creating social capital. In addition, similar to social capital, the definition of trust is problematic and it remains a nebulous concept and equally, with many dimensions. Interests in the analysis of trust are wide spread among many disciplines, notably policy analysis, economic development, reliability and security of distributed computational systems and many others. The variety of approaches currently employed to investigate trust and different interpretations of its role in fostering social capital has resulted into a diverse array of knowledge about the concept and its relationship to social capital. This Chapter provides a broader overview of work on trust. It discusses how researchers have used trust as a proxy for measuring social capital.

Modelling Monetary Policy

2021 ◽  
pp. 293-316
Author(s):  
Juan Antonio Morales ◽  
Paul Reding
Keyword(s):  
Monetary Policy ◽  
Policy Analysis ◽  
Policy Decision ◽  
Central Banks ◽  
Dynamic Stochastic General Equilibrium ◽  
Dsge Models ◽  
Dynamic Stochastic ◽  
Policy Decision Making

This last chapter deals with the toolbox that central banks use to design and implement their monetary policy strategy. Central banks develop various types of model, both for forecasting and for policy analysis. The chapter discusses the main characteristics of the models used, their strengths and limitations. It assesses how dynamic stochastic general equilibrium (DSGE) models are used for monetary policy analysis. Examples are provided on how they contribute to explore fundamental, long-term policy issues specific to LFDCs. The chapter also discusses the contribution of small semi-structural models which, though less strongly theory grounded than DSGE models, can be brought closer to the available data and are therefore possibly better suited to the context of LFDCs. Attention is also drawn to the key role of judgement as the indispensable complement, in monetary policy decision-making, to model-based policy analysis.

scholarly journals Transformation of Central Banking. Annual Research Conference of the NBU. Key Issues

2016 ◽  
pp. 6-18 ◽  
Author(s):  
Sergiy Nikolaychuk ◽  
Roman Pidvysotskyy
Keyword(s):  
Interest Rates ◽  
Financial Stability ◽  
Transition Process ◽  
Central Banks ◽  
Central Banking ◽  
Academic Community ◽  
Research Conference ◽  
Low Interest Rates ◽  
Key Issues ◽  
Community Issues

In May 2016, the National Bank of Ukraine (NBU) held its Annual Research Conference of the NBU on Transformation of Central Banking for the first time. Over 300 participants shared in the work of the representative international forum, including experts from central banks and international financial organizations, as well as representatives of the Ukrainian and international academic community. Issues discussed during the conference included the recent development trends of in central bankings, ranging from the monetary policy at low interest rates and under the threat of deflation, financial stability and management of capital flows, and the effect of new financial technologies and cultural features on the transition process in central banks.

Central Bank Independence

2021 ◽  
pp. 39-67
Author(s):  
Patrick Njoroge ◽  
Désiré Kanga ◽  
Victor Murinde
Keyword(s):  
Central Bank ◽  
Financial Stability ◽  
Financial Regulation ◽  
Central Banks ◽  
Central Banking ◽  
Central Bank Independence ◽  
First Century ◽  
Fiscal Discipline ◽  
Key Issues ◽  
Personal Accountability

The chapter covers central bank independence broadly and makes use of rich literature to bring out key issues on central bank independence from the inception of central banking in 1668 to the twenty-first century. The chapter identifies four measures of central bank independence mainly focusing on legal characteristics. The findings of the study point to benefits associated with independence of central banks, including management of inflation. Also, it is found that delegating monetary policy to an independent central bank increases debt sustainability and fosters fiscal discipline. It is noted that central bank independence needs to be reconciled with the requirements of institutional and personal accountability of the governors. Further, the financial regulation role should be strengthened in the mandates of central banks as the objective of price stability does not necessarily foster financial stability.

The Birth of Central Banking, 1955–1956

2020 ◽  
pp. 25-34
Author(s):  
Vũ Quốc Thúc
Keyword(s):  
Consumer Goods ◽  
General Public ◽  
Counting Process ◽  
Central Banking ◽  
Business Community ◽  
French Government ◽  
Public Consumption ◽  
National Bank ◽  
American Consumer

This chapter discusses the experiences and challenges faced by the former governor of the National Bank of Vietnam. It also describes his experiences prior to the bank's establishment, as Vietnam negotiated with France in the Four-Party Conference on the various issues related to the transfer of sovereignty. During this time, Vietnam had inherited from the French government an empty treasury, a disheartened French business community, and a bureaucracy entrenched in antiquated colonial methods. It was against this gloomy backdrop that American aid began to arrive, first to help Northerners resettle in their new land, and later, to fund the import of American consumer goods for general public consumption, an initiative known as the Commercial Import Program. The chapter also discusses the 1956 Banknote Exchange Scandal, which highlighted the flaws inherent in the banknote counting process.

scholarly journals Policy Analysis Using DSGE Models: An Introduction

2010 ◽  
Author(s):  
Argia M. Sbordone ◽  
Andrea Tambalotti ◽  
Krishna Rao ◽  
Kieran Walsh
Keyword(s):  
Policy Analysis ◽  
Dsge Models

Central banking in nineteenth-century Belgium: was the NBB a lender of last resort?

2008 ◽  
Vol 15 (2) ◽  
pp. 153-173 ◽  
Author(s):  
Erik Buyst ◽  
Ivo Maes
Keyword(s):  
Banking Sector ◽  
Financial System ◽  
Central Banking ◽  
Lender Of Last Resort ◽  
Short Term ◽  
Commercial Activities ◽  
Finance Minister ◽  
National Bank ◽  
The Stability

AbstractThe creation of the National Bank of Belgium (NBB) in 1850 marked a fundamental reform of the Belgian financial system. It clearly aimed at rendering the financial system more crisis resistant, especially by restricting the leverage of the banking sector. The NBB, which received the privilege to issue banknotes, was subject to strict rules to grant only short-term credit against collateral. The NBB took up a key role in maintaining monetary stability, especially by safeguarding the convertibility of banknotes. The NBB also took part in certain rescue operations of financial institutions. However, this was mostly on explicit demand from the finance minister and for crises concerning discount banks. It would then be an exaggeration to consider it as a lender of last resort, in the sense of taking responsibility for the stability of the financial system. This should be no surprise, given the limitations imposed by its statutes, especially the limitation to short-term credits and the strict rules on collateral, the role of the profit motive in its commercial activities and the priority for safeguarding the convertibility of banknotes.

scholarly journals Monetary Policy Analysis with Potentially Misspecified Models

2009 ◽  
Vol 99 (4) ◽  
pp. 1415-1450 ◽  
Author(s):  
Marco Del Negro ◽  
Frank Schorfheide
Keyword(s):  
Policy Analysis ◽  
Recent Literature ◽  
Model Misspecification ◽  
Dynamic Stochastic General Equilibrium ◽  
Dsge Models ◽  
Estimation Of Parameters ◽  
Dsge Model ◽  
Misspecified Models ◽  
Trade Offs ◽  
Dynamic Stochastic

Policy analysis with potentially misspecified dynamic stochastic general equilibrium (DSGE) models faces two challenges: estimation of parameters that are relevant for policy trade-offs, and treatment of the deviations from the cross-equation restrictions. Using post-1982 US data, we study the robustness of the policy prescriptions from a state-of-the-art DSGE model with respect to two approaches to model misspecification pursued in the recent literature: (i) adding shocks to the DSGE model and/or generalizing the processes followed by these shocks; and (ii) explicit modeling of deviations from cross-equation restrictions (DSGE-VAR). (JEL C51, E13, E43, E52, E58)

scholarly journals Monetary policy of the National Bank of Poland in period 1999–September 2008

Equilibrium ◽  
2008 ◽  
Vol 1 (1-2) ◽  
pp. 23-37 ◽  
Author(s):  
Ilona Pietryka
Keyword(s):  
Monetary Policy ◽  
Fiscal Policy ◽  
World Economy ◽  
Raw Materials ◽  
Central Banks ◽  
Central Banking ◽  
Economic Situation ◽  
External Demand ◽  
National Bank

At present, the basic and the most important final aim for central banking is to achieve and maintain stable, low inflation. During the last several years BCI conception gained considerable popularity, which is reflected in the growth of number of central banks leading monetary policy according to that strategy. The aim of this paper is to review the realization of the monetary policy in Poland in years 1999–2008 as well as in long-term perspective. The reason of non-achieving the inflationary aims are situated in supply factors (such as changes of controlled process, fluctuation of food process or changes of raw materials prices), fluctuation of economic situation in world economy, dynamics of internal and external demand and expansive fiscal policy.

Sign in / Sign up

Export Citation Format

Share Document