Journal of Money, Credit & Banking

Reports major findings in the study of financial institutions, financial markets, monetary and fiscal policy, credit markets, money and banking.

Articles from Vol. 21, No. 4, November

Commodity Prices: Policy Target or Information Variable?
Commodity Prices: Policy Target or Information Variable? The relationship between growth of the monetary aggregates and growth of nominal GNP has become less dependable in the 1980s. Deposit deregulation and large fluctuations in interest rates have...
Does Money Matter? the Robustness of Evidence from Vector Autoregressions
Does Money Matter? The Robustness of Evidence from Vector Autoregressions TRADITIONALLY, EMPIRICAL MACROECONOMIC RESEARCH begins with the use of theory to construct a highly restricted structural econometric model. The determination of the nature...
Federal Reserve System Requirements, 1959-1988
Federal Reserve System Reserve Requirements, 1959-1988 Over the last thirty years, the Federal Reserve System frequently has changed both the range of deposit classifications against which reserves must be held, and the level of reserve requirement...
Financial Determinants of Bank Takeovers
Financial Determinants of Bank Takeovers In recent years more takeovers have occurred in banking than in any other industry (Mergers & Acquisitions 1987). This activity resulted partly from liberalized laws affecting branch and interstate banking...
Is Increased Price Inflexibility Stabilizing?
Is Increased Price Inflexibility Stabilizing? THIS PAPER EXAMINES A BASIC QUESTION: the link between the degree of price flexibility and the variability of output. The two standard intermediate macroeconomic textbook models are the classical and the...
Monetary Policy Games and Central Bank Politics
Monetary Policy Games and Central Bank Politics A RECENT LINE OF RESEARCH in monetary policy games has led to the development of "rational" political business cycle (RPBC) models (Alesina 1987, Rogoff and Sibert 1988). A characteristic of these models...
Policy Preferences of FOMC Members as Revealed by Dissenting Votes
Policy Preferences of FOMC Members as Revealed by Dissenting Votes THE COMPOSITION OF THE FEDERAL OPEN MARKET COMMITTEE, the ability to predict the effect of policy decisions on economic and financial variables, and political influence from the White...
Policy Rules, Inflationary Bias, and Cyclical Stability
Policy Rules, Inflationary Bias, and Cyclical Stability STATUTORY POLICY RULES, such as a k-percent rule for money growth, can restrain officials from pursuing their own welfare at the expense of the public good. Toma (1982) and Barro and Gordon (1983),...
The Behavior of Money Demand in the 1980s
The Behavior of Money Demand in the 1980s EXISTING MONEY DEMAND FUNCTIONS did not predict the strength in M1 in the 1980s. This strength derived from the combination of a change in the character of M1 due to financial deregulation and the sharp fall...
The Conduct of Monetary Policy and the Natural Rate of Unemployment
The Conduct of Monetary Policy and the Natural Rate of Unemployment Widespread acceptance of the "natural rate hypothesis" has meant that analysis of monetary policy has focused on the extent to which it can stabilize output and unemployment rather...
The Determinants of the Money Multiplier in the United Kingdom
The Determinants of the Money Multiplier in the United Kingdom THE MONEY MULTIPLIER DEFINES THE RELATIONSHIP between the money stock and the monetary base ([M.sub.o]). Monetary growth may be analyzed in terms of the determinants of the money multiplier...