全球智库信息集成服务系统(G2TT): DP12189 Step away from the zero lower bound: small open economies in a world of secular stagnation

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP12189
	DP12189 Step away from the zero lower bound: small open economies in a world of secular stagnation
	Giancarlo Corsetti; Eleonora Mavroeidi; Gregory Thwaites; Martin Wolf
发表日期	2017-07-28
出版年	2017
语种	英语
摘要	We study how small open economies can escape from deflation and unemployment in a situation where the world economy is permanently depressed. Building on the framework of Eggertsson et al (2016), we show that the transition to full employment and at-target inflation requires real and nominal depreciation of the exchange rate. However, because of adverse income and valuation effects from real depreciation, the escape can be beggar thy self, raising employment but actually lowering welfare. We show that as long as the economy remains financially open, domestic asset supply policies or reducing the effective lower bound on policy rates may be ineffective or even counterproductive. However, closing domestic capital markets does not necessarily enhance the monetary authorities’ ability to rescue the economy from stagnation.
主题	International Macroeconomics and Finance
关键词	monetary policy Zero lower bound Deflation Depreciation Beggar-thy-neighbour Capital controls
URL	https://cepr.org/publications/dp12189
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/541000
推荐引用方式 GB/T 7714	Giancarlo Corsetti,Eleonora Mavroeidi,Gregory Thwaites,et al. DP12189 Step away from the zero lower bound: small open economies in a world of secular stagnation. 2017.