Macroeconomic policy : demystifying monetary and fiscal policy / / Farrokh K. Langdana

• Autore: Langdana Farrokh K.
• Pubblicazione: Cham, Switzerland : , : Springer, , [2022]; ©2022
• Edizione: Fourth edition.
• Descrizione fisica: 1 online resource (358 pages)
• Disciplina: 339.5
• Soggetto topico: Economics - Methodology; Banks and banking
• Nota di bibliografia: Includes bibliographical references and index.
• Nota di contenuto: Intro -- Foreword -- Acknowledgments -- Contents -- About the Author -- Chapter 1: Introduction and Overview of the Fourth Edition -- 1.1 Chapter Overview -- 1.2 What´s New in This Fourth Edition -- Chapter 2: National Income Accounts -- 2.1 Paradigm Shifts: An Introduction -- 2.2 Some Fundamental Definitions -- 2.2.1 Inflation -- 2.2.2 GDP Deflator -- 2.2.3 Consumer Price Index (CPI) -- 2.2.4 The PCE Deflator: The Index Used by the Fed -- 2.3 Discussion Questions -- Chapter 3: Budget Deficits, Trade Deficits, and Global Capital Flows: The National Savings Identity -- 3.1 The National Savings Identity (NSI) -- 3.1.1 Two Crucial Assumptions Underlying the NSI -- 3.1.1.1 Microeconomics Review -- 3.1.2 Linking the Twin Deficits -- 3.2 Possible Negative Aspects of Bond-Financed Deficits -- 3.3 Two Cases of the NSI: The United States and China -- 3.3.1 US-Type NSI -- 3.3.2 China-Type NSI -- 3.4 Factors Influencing Global Capital Flows -- 3.4.1 Hot Capital: The Bane of Emerging Economies -- 3.4.2 Factors Influencing Global Capital Flows: The Cave Theory -- 3.5 Discussion Questions -- Chapter 4: Aggregate Demand: Setting the Stage for Demand-Side Stabilization -- 4.1 Demand-Side Stabilization -- 4.2 Business Cycles -- 4.3 Variables Underlying the Aggregate Demand: Introducing the Goods Market -- 4.3.1 Analyzing the Components of Aggregate Demand -- 4.3.2 A Preliminary Money Market and an Introduction to Quantitative Easing (QE) -- 4.3.3 Deriving the Aggregate Demand -- 4.4 Discussion Questions -- Chapter 5: Demand-Side Stabilization: Overheating, Hard Landing, and Sap Bubbles -- 5.1 Shifting the AD: Changing Government Spending -- 5.1.1 The Mechanism of the Multiplier Effect -- 5.2 Shifting the AD: Changing Monetary Policy -- 5.3 Shifting the AD: Tax Policy -- 5.4 Summarizing the Three Methods of Shifting AD -- 5.5 Unemployment -- 5.6 Inflation. ; 5.6.1 Designing Macroeconomic Policy: An Exercise -- 5.6.2 Demand-Pull Inflation -- 5.6.3 Cost-Push Inflation -- 5.6.3.1 The COVID-19 Exogenous Shock: The ``One-Two´´ Punch -- 5.6.4 The Index of Leading Economic Activity, NAPM, and some ``Non-Traditional´´ Indicators -- 5.7 Discussion Questions -- Chapter 6: Long-Term Interest Rates, the Yield Curve, and Hyperinflation -- 6.1 Expected Inflation and Long-Term Interest Rates: The Fisher Effect -- 6.2 The Yield Curve: A Macroeconomic Perspective -- 6.2.1 The Global Long-Bond Warning: The Covid-19 Aftermath -- 6.2.2 Negative Real Rates and Sap Bubbles -- 6.2.3 Operation Twist: The Macroeconomic Aberration -- 6.3 Hyperinflations -- 6.3.1 The Anatomy of a Meltdown -- 6.3.2 Hyperinflations: Remedies -- 6.4 Monetary Discipline: The Hazards of Pegging -- 6.5 Discussion Questions -- Chapter 7: ISLM: The Engine Room -- 7.1 The IS Curve -- 7.1.1 Some IS Exercises -- 7.1.2 Introducing Taxes into the IS Curve -- 7.2 The LM Curve -- 7.2.1 Factors That Shift the LM -- 7.3 ISLM-ADAS Policy Exercises -- 7.3.1 Survival Guide to ISLM-ADAS Policy Analysis -- 7.3.1.1 Summarizing IS and LM Shifts -- 7.3.2 ISLM-ADAS Policy Experiment I -- 7.3.3 ISLM-ADAS Policy Experiment II -- 7.3.4 ISLM-ADAS Policy Exercise III: An Increase in Tax Rates -- 7.3.5 ISLM-ADAS Policy Exercise IV: Simultaneous Increases in Government Spending and Monetary Growth (``Fine-Tuning´´) -- 7.4 The Global IS -- 7.4.1 Global IS: A Brief Overview -- 7.4.1.1 Summarizing Factors That Shift the Global IS -- 7.5 Discussion Questions -- Chapter 8: The Classical Model -- 8.1 Classical Aggregate Supply: Derivation -- 8.1.1 Derivation Sequence -- 8.2 Policy Exercise I: Increase in G -- 8.3 ISLM-ADAS Policy Exercise II: Increase in M -- 8.4 The ``Natural´´ Rates of GDP and Employment Growth -- 8.5 Discussion Questions -- Chapter 9: The Keynesian Model. ; 9.1 Keynesian Aggregate Supply: Diagrammatic Derivation -- 9.1.1 Derivation Sequence -- 9.1.2 Survival Guide for ISLM with Keynesian AS (K-AS) -- 9.1.3 Policy Exercise I: Increase in G -- 9.1.4 Policy Exercise II: Increase in Monetary Growth -- 9.1.5 Policy Exercise III: Engineering a Soft Landing -- 9.1.6 Policy Exercise IV: The Liquidity Trap Revisited -- 9.2 Tax Inversion, Statutory Taxes, and Effective Taxes: Fifty Foot Walls and 51 Foot Ladders -- 9.3 The Phillips Curve -- 9.4 The Yield Curve and the Keynesian Paradigm -- 9.5 The Agony of a Paradigm Shift: The Great Depression -- 9.6 Prelude to the Great Depression: The Panics of 1873 and 1893 and the Wizard of Oz -- 9.7 Discussion Questions -- Chapter 10: The Supply-Side Model and the New Economy -- 10.1 The Expectations-Augmented AS Curve: An Explanation of the Paradigm Shift -- 10.1.1 Diagrammatic Derivation: Expectations-Augmented Aggregate Supply Curve -- 10.1.2 Paradigm Shift II: An Expectations-Augmented Explanation -- 10.2 Supply-Side Economics -- 10.2.1 Significant Income Tax Cuts -- 10.2.2 Sweeping Corporate/Business Tax Cuts -- 10.2.3 Increasing Productivity -- 10.2.4 Supply-Side Stabilization -- 10.3 Stagflation -- 10.4 From the Supply-Side to the New Economy -- 10.5 The Identification Problem -- 10.6 A Keynesian Explanation of the ``New´´ Economy -- 10.7 Contrasting the ``New´´ Economy with the ``Old´´ One -- 10.8 Can the Two Models Be Reconciled? -- 10.9 The Outlook for the New Economy -- 10.10 Which Model for Developed Economies? -- 10.11 Discussion Questions -- Chapter 11: After COVID: MMT and Other Major Global Macropolicy Issues -- 11.1 Large Budget Deficits Since 2008: The Dog That Didn´t Bark in the Night -- 11.1.1 The Super-Huge Global Deficit/GDP Ratios Since 2008 -- 11.2 Modern Monetary Theory (MMT) and Covidonomics -- 11.3 The Changing Face of Global Oil Prices. ; Chapter 12: Central Banks and Monetary Policy -- 12.1 Institutional Structure: The Federal Reserve -- 12.2 The Money Creation Process: How the Federal Reserve Changes the Money Supply -- 12.2.1 Reserve Requirements and the Money Multiplier: The Theory -- 12.2.2 Open Market Operations (OMOs) -- 12.2.3 The ``Broken Rhombus´´ -- 12.2.3.1 So Why and How Is the Rhombus ``Broken´´? -- 12.2.4 Reserve Ratios and the Money Multiplier: The Empirical Reality -- 12.2.5 Changing the Discount Rate -- 12.2.5.1 How Is Discount Rate Policy Supposed to Change Money Growth? -- 12.2.5.2 How is Observed (Actual) Discount Rate Policy Different? -- 12.2.6 Changing the Required Reserve Ratio -- 12.3 The Role of the Central Bank: How Should Monetary Policy Be Conducted? -- 12.3.1 Milton Friedman and the Role of Monetary Policy -- 12.3.2 Is Monetary Discipline Worth the Pain? -- 12.3.3 The ``Curse´´ of Humphrey-Hawkins -- 12.3.3.1 Is the Humphrey-Hawkins Act Really a Liability? -- 12.4 The Taylor Rule -- 12.5 Exchange Rate Pegging, Currency Crises, and Sterilization -- 12.6 The Impossible Trinity -- 12.7 Discussion Questions -- References -- Index.
• Titolo autorizzato: Macroeconomic policy
• ISBN: 9783030920586; 9783030920579
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Lingua di pubblicazione: Inglese
• Record Nr.: 9910559393703321
• Lo trovi qui: Univ. Federico II
• Serie: Springer Texts in Business and Economics