FOMC Policy: 1970 and Beyond

macroeconomics, FOMC, 1970

Bank Regulation and the Effectiveness of Open Market Operations

macroeconomics, international, open markets, bank regulation

Commercial banks and the supply of money: a market-determined demand deposit rate

Banks and banking ; Bank investments

Comments and Discussion [Crowding Out or Crowding In? Economic Consequences of Financing Government Deficits]

macroeconomics, deficits, federal deficit, tax reduction, inflation, deflation

Samuelson's consumption-loan model with country-specific fiat monies

In this paper, we examine various exchange rate regimes, paying particular attention to what difference the monetary-fiscal policy choices of governments make. The exchange rate may be market-determined or fixed, and if fixed, either cooperatively or by one government alone. Further, capital controls may or may not apply. Our most important result, quite general, we believe, is that absent capital controls the equilibrium exchange rate of the floating rate regime is indeterminate. It makes no sense to advocate floating rates and unfettered international borrowing and lending.