Macroeconomic Patterns and Monetary Policy in the Run-up to Asset Price Busts /

We find that inflation, output and the stance of monetary policy do not typically display unusual behavior ahead of asset price busts. By contrast, credit, shares of investment in GDP, current account deficits, and asset prices typically rise, providing useful, if not perfect, leading indicators of...

Повний опис

Бібліографічні деталі
Автор: Scott, Alasdair
Інші автори: Kannan, Prakash, Rabanal, Pau
Формат: Журнал
Мова:English
Опубліковано: Washington, D.C. : International Monetary Fund, 2009.
Серія:IMF Working Papers; Working Paper ; No. 2009/252
Онлайн доступ:Full text available on IMF
Опис
Резюме:We find that inflation, output and the stance of monetary policy do not typically display unusual behavior ahead of asset price busts. By contrast, credit, shares of investment in GDP, current account deficits, and asset prices typically rise, providing useful, if not perfect, leading indicators of asset price busts. These patterns could also be observed in the build-up to the current crisis. Monetary policy was not the main, systematic cause of the current crisis. But, with inflation typically under control, central banks effectively accommodated these growing imbalances, raising the risk of damaging busts.
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Фізичний опис:1 online resource (39 pages)
Формат:Mode of access: Internet
ISSN:1018-5941
Доступ:Electronic access restricted to authorized BRAC University faculty, staff and students