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Monetary in sentence

5081 examples of Monetary in a sentence

For the same reasons that the global economy has become more multipolar, the international monetary system will become more multipolar, with several currencies sharing reserve-currency status.
Hence the Keynesian solution: use monetary policy (lower interest rates) and fiscal policy (expanded government spending and reduced taxes) to keep the economy from ever approaching the precipice where deflation becomes possible.
In the late 1940s, those present at the creation of the post-World War II international economic order tried to create an international monetary system that would (a) allow for exchange rates stable enough for producers and consumers to escape the risks of excessive and irrational exchange rate fluctuations, (b) allow countries to follow their own domestic macroeconomic policies, and (c) prevent the catastrophic panics affecting not just individual banks but whole countries that produced the destructive international financial crisis of the Great Depression.
But if those who built the post-World War II international monetary system worked to guard against the dangers posed by panic-driven international financial crises, why are these financial devils back?
In the US, the Bush Administration is skeptical of the stimulative power of monetary policy and wants bigger fiscal deficits to reduce unemployment, hoping that the future dangers posed by persistent deficits -- low investment, slow growth, loss of confidence, uncontrolled inflation and exchange rate depreciation-- can be finessed, or will not become visible until after the Bush team leaves office.
The Bear of Bretton WoodsBERKELEY – This is the season for international monetary conferences.
And, in early April, leading thinkers and former policymakers met in Bretton Woods, New Hampshire, the birthplace in 1944 of the International Monetary Fund and our dollar-centered international monetary system.
Instead, what will ultimately replace today’s dollar-centric international monetary and financial system is a tripolar system organized around the dollar, the euro, and the Chinese renminbi.
After all, the ultimate cause of the 2007-2009 financial crisis was the dangerous inconsistency between our multipolar global economy and its still dollar-dominated monetary and financial system.
The good news is that this will change over the coming decade, bringing international monetary arrangements back into line with economic realities.
Whether monetary union was necessary to accomplish that aim is debatable.
Historical efforts at monetary union have sometimes collapsed, and sometimes they have survived multiple crises.
The main anchor of central banks’ monetary policy over the past 20 years was an inflation-targeting framework that developed from academic interpretation of the problems involved in targeting monetary aggregates.
Some econometric attempts have been made to identify long-term cycles in both inflation and monetary growth.
At that time, it was often argued that price spikes for petroleum or other commodities were somehow “extraneous” to the system, and not a reflection of the real basis of monetary policy in the industrial countries.
But the oil-price shocks that came after 1973 were in part also a response to the major industrial countries’ monetary policy in the later 1960’s and early 1970’s.
Other commodity prices had risen rapidly in the early 1970’s, in direct response to monetary easing in the US and elsewhere.
Food and energy prices are more likely to be affected by monetary policy.
Given that food and energy prices respond to monetary developments, and thus are not exogenous, the concept of “core inflation” obviously becomes problematic, to say the least.
It is when we worry about relative prices that we get most angry about monetary policy – and when central banks seem to offer no answer.
Eurozone members facing a loss of competitiveness can no longer afford to skirt difficult but necessary reforms through a monetary “quick fix” that shifts the burden onto their trade partners: as always, beggar-thy-neighbor policies reward laxity and penalize virtue.
This conference has grown to be a major international event for government monetary policymakers, with governors or deputy governors of 34 central banks attending this year.
The US Federal Reserve is sometimes blamed for the current mortgage crisis, because excessively loose monetary policy allegedly fueled the price boom that preceded it.
But loose monetary policy is not the whole story.
Alan Greenspan, the former Fed chairman, recently said that he now believes that speculative bubbles are important driving forces in our economy, but that, at the same time, the world’s monetary authorities cannot control bubbles.
He is mostly right: the best thing that monetary authorities could have done, given their other priorities and concerns, is to lean against the real estate bubble, not stop it from inflating.
The current decline in home prices is associated just as clearly with waning speculative enthusiasm among investors, which is likewise largely unrelated to monetary policy.
The world’s monetary authorities will have trouble stopping this decline, and much of the attendant problems, just as they would have had trouble stopping the ascent that preceded it.
The framework for US macroeconomic policy changed dramatically when the international monetary system broke down in 1971.
The arrangement collapsed because the US did not want to tighten monetary policy and run more restrictive fiscal policy: keeping US voters happy was understandably more important to President Nixon than maintaining a global system of fixed exchange rates.
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