• 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