Title of article
Financial globalizationandmonetarypolicy
Author/Authors
Michael B.Devereux، نويسنده ,
Issue Information
روزنامه با شماره پیاپی سال 2008
Pages
13
From page
1363
To page
1375
Abstract
Recentdatashowsubstantialincreasesinthesizeofgrossexternalassetandliability
positions.Theimplicationsofthesedevelopmentsforoptimalconductofmonetary
policy areanalyzedinastandardopeneconomymodelwhichisaugmentedtoallowfor
endogenous portfoliochoice.Themodelshowsthatmonetarypolicytakesonnew
importanceduetoitsimpactonnominalassetreturns.Nevertheless,thecaseforprice
stabilityasanoptimalmonetaryruleremains.Infact,itisreinforced.Evenwithout
nominalpricerigidities,pricestabilityisoptimalbecauseitenhancestherisksharing
properties ofnominalbonds
Keywords
Portfolio choiceInternational risksharingExchangerate
Journal title
Journal of Monetary Economics
Serial Year
2008
Journal title
Journal of Monetary Economics
Record number
846255
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