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Monetary in sentence

5081 examples of Monetary in a sentence

The members of European Monetary Union are surrendering monetary sovereignty, voluntarily to be sure, but they are surrendering it all the same.
Member countries will no longer have their individual monetary policies, or even discretionary fiscal policies for that matter.
A central bank, including the new European Central Bank, in order to conduct a monetary policy geared to its own economic objectives, must be able to make its interest rates move somewhat independently of world market rates.
They pushed forward the idea of monetary integration, which came to fruition a generation later.
The impact on financial markets will be disruptive, regardless of whether the Fed aggressively tightens monetary policy to pre-empt rising prices or lets the economy “run hot” for a year or two, allowing inflation to accelerate.
It was at that point that the Fed turned on the monetary spigots to try to combat an economic slowdown.
If it pushes too hard on continued monetary expansion, it won’t prevent a bust but instead could create stagflation – inflation and economic contraction.
Global investors have become more risk-averse in response to expectations of tighter monetary conditions in the United States and Europe, as well as concerns about China’s slowing growth and its negative effects on global demand and commodity prices.
Today, however, there is a growing consensus that the efficacy of monetary stimulus has reached its limits.
Under QE, the central bank buys government bonds, expanding the monetary base.
The increase in the monetary base, however, is only temporary; when the bonds are redeemed, it reverts to its original level.
This eventual need to reduce the monetary base is an implicit claim on a central bank’s assets; thus, the increase is rightly considered a liability on its balance sheet.
Under a fiscal stimulus financed by helicopter money, however, the central bank never has to reverse the increase in the monetary base.
Because the holders of the distributed funds have no claim on the central bank, the increase in the monetary base should not be viewed as a liability, but as an increase in the central bank’s net worth.
If, however, a permanent increase in the monetary base is transferred to the government as seigniorage revenue, it can use the windfall to fund tax cuts or increase spending without affecting its balance sheets.
When an economy is at risk of falling into deflation, a central bank can change interest rates, temporarily increase the monetary base, or increase it permanently.
If monetary policymakers conclude that a permanent increase in the monetary base is needed to achieve their inflation target, they could use permanently increase the monetary base and transfer the seigniorage revenues to government.
But the decisions that Scotland would have to make about its monetary arrangements in the months following a vote for independence are at least as likely to be confronted by some eurozone countries over the next couple of years.
The first possibility, which First Minister Alex Salmond appears to have in mind, would entail a monetary union under a central bank accountable both to Scotland and the rump UK.
But the UK government could – and undoubtedly would – veto any such adaptation of the Bank of England’s responsibilities for monetary policy, financial stability, and banking supervision.
Any other conceivable model of monetary union – including one based on a central bank as unaccountable as the European Central Bank – would be subject to the same rejection.
Borrowing the credibility of an established monetary authority – especially one that issues a global reserve currency – would be tactically advantageous for a post-independence Scotland; but the new country would be exposed to the risk of an inflation shock and sterling crisis stemming from the Bank of England’s expansionary monetary policy.
Italy is perhaps the prime candidate to lead an exit from the eurozone, though a political shock could also arise in France, spurring it to negotiate with Germany the dissolution of the monetary union.
But a sovereign Scottish government might try to negotiate an exemption to this rule – and, in so doing, join the tide of other European countries seeking a way out of the great blunder that Europe’s monetary union has turned out to be.
Finally, the GCC needs to favor greater exchange-rate flexibility and monetary independence.
Draghi later declared that the ECB can and will do whatever is necessary to prevent high sovereign-risk premia from “hampering the functioning of monetary policy.”
The ECB would thus cross the threshold from monetary policy to fiscal policy.
America meets all the Maastricht criteria for monetary union, which no actual EU member (save Luxembourg) can claim.
In Europe and Japan, for example, monetary and fiscal policies have been tightening in response to domestic concerns, further slowing the world economy.
This is not just a matter of revaluing the Chinese currency, as argued by some US policymakers, but requires gradual adjustment of most major currencies against the dollar in conjunction with concerted fiscal and monetary policy adjustments in the rest of the world.
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