3,056 research outputs found

    Evolution of Music by Public Choice

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    Music evolves as composers, performers, and consumers favor some musical variants over others. To investigate the role of consumer selection, we constructed a Darwinian music engine consisting of a population of short audio loops that sexually reproduce and mutate. This population evolved for 2,513 generations under the selective influence of 6,931 consumers who rated the loops’ aesthetic qualities. We found that the loops quickly evolved into music attributable, in part, to the evolution of aesthetically pleasing chords and rhythms. Later, however, evolution slowed. Applying the Price equation, a general description of evolutionary processes, we found that this stasis was mostly attributable to a decrease in the fidelity of transmission. Our experiment shows how cultural dynamics can be explained in terms of competing evolutionary forces

    Real Effective Exchange Rates Comovements and the South African Currency

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    Abstract. The study analyses comovement between the real effective exchange rate of South Africa and those of a sample of countries that include the world’s major economies as well as emerging and developing economies. The comovement is examined over the short and long term as well as pre and post the recent global financial crisis. The results show that, although the real effective exchange rate of South Africa shows some comovement with those of the selected countries, such comovement is mixed and inconsistent. Currencies that belong to a similar grouping in terms of economic development and geographical location display both positive and negative comovement with the real effective exchange rate of South Africa. There is also no consistency in the comovement between the real effective exchange rate of South Africa and those of the selected countries pre and post the recent financial crisis. The results further show that the comovement between the real effective exchange rate of South Africa and those of some of the selected sample of countries is stronger between the trend component than it is between the cyclical component.Keywords. Comovements, Real effective exchange rate, Financial crisis.JEL. C11, C22, F31, F42

    Alternative Measures of Credit Extension for Countercyclical Buffer Decisions in South Africa

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    Abstract. This paper analyses the behaviour of alternative measures of credit extension for countercyclical buffer decisions in South Africa. These measures include the deviation of the ratio of private sector credit extension to gross domestic product from its long term trend, the deviation of the logarithm of private sector credit extension from its long term trend as well as the annual percentage change in private sector credit extension. The cyclical properties of these measures are examined over the economic and the financial cycles. The results show that the deviation of the ratio of private sector credit extension to gross domestic product from its long term trend is countercyclical with the economic cycle. The results further show that the deviation of the logarithm of private sector credit extension from its long term trend is procyclical with both the economic and the financial cycle. The results finally show that the annual percentage change in private sector credit extension generally performs poorly in cyclical terms with both the economic and the financial cycle. Consequently, of the three alternative measures of private sector credit extension considered, the deviation of the logarithm of private sector credit extension from its long term trend could be used as a common reference guide for implementing the countercyclical capital buffers for financial institutions in South Africa.Keywords. Credit extension, Countercyclical capital buffers.JEL. C32, E44, E51, G21

    The lean versus clean debate and monetary policy in South Africa

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    Abstract. This paper contributes to the lean versus clean debate by examining whether or not monetary policy in South Africa leans against the wind or cleans up after the bubble has bust. This is achieved by analysing the behaviour of asset prices during the different phases of monetary policy stance. The models that allow the behaviour of the asset prices to differ during periods of tight and easy monetary conditions as well as during periods of contractionary and expansionary monetary conditions are specified. The results provide evidence of an asymmetric behaviour between monetary policy interest rate and asset prices during the periods of easy and tight monetary conditions. The empirical results further provide evidence of symmetric behaviour between themonetary policy interest rate and asset prices during the periods of contractionary and expansionary monetary conditions. Thus monetary policy in South Africa supports the proposition of leaning against the wind as opposed to the proposition of cleaning up after the bubble has burst.Keywords. Lean versus clean debate, Monetary policy regimes, Financial distress.JEL. C51, E52, E61, G01

    Dehydroxlation of amino sugars and related substances

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    Thesis (M.A.)--Boston Universit
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