کد مقاله کد نشریه سال انتشار مقاله انگلیسی نسخه تمام متن
966034 930918 2010 12 صفحه PDF دانلود رایگان
عنوان انگلیسی مقاله ISI
Wicksell's Classical Dichotomy: Is the natural rate of interest independent of the money rate of interest?
موضوعات مرتبط
علوم انسانی و اجتماعی اقتصاد، اقتصادسنجی و امور مالی اقتصاد و اقتصادسنجی
پیش نمایش صفحه اول مقاله
Wicksell's Classical Dichotomy: Is the natural rate of interest independent of the money rate of interest?
چکیده انگلیسی
According to Wicksell's Classical Dichotomy the money rate of interest depends on the natural rate of interest, but the latter does not depend on the former. If this Classical Dichotomy is false monetary policy may induce hysteresis because the natural rate of interest would depend upon the money rate of interest. We use data for Israel to test Wicksell's Classical Dichotomy. We proxy the natural rate of interest by the forward yield to maturity on indexed-linked treasury bonds. If the null hypothesis is false it is difficult to suggest persuasive instruments that would identify the causal effect of the money rate on the natural rate of interest. Our identification strategy is therefore built around quasi-experimentation and event analysis. Large and seemingly orthogonal shocks to the natural rate of interest have no measurable effect on the natural rate of interest according to non-parametric and parametric tests. Therefore, Wicksell's Classical Dichotomy is empirically valid.
ناشر
Database: Elsevier - ScienceDirect (ساینس دایرکت)
Journal: Journal of Macroeconomics - Volume 32, Issue 1, March 2010, Pages 366-377
نویسندگان
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