Search Results

Showing results 1 to 3 of approximately 3.

(refine search)
SORT BY: PREVIOUS / NEXT
Keywords:World Interest Rate 

Working Paper
International Credit Markets and Global Business Cycles

This paper stresses a new channel through which global financial linkages contribute to the co-movement in economic activity across countries. We show in a two-country setting with borrowing constraints that international credit markets are subject to self-fulfilling variations in the world real interest rate. Those expectation-driven changes in the borrowing cost in turn act as global shocks that induce strong cross-country co-movements in both financial and real variables (such as asset prices, GDP, consumption, investment and employment). When firms around the world benefit from ...
Working Papers , Paper 2018-9

Working Paper
The Global Equilibrium Real Interest Rate: Concepts, Estimates, and Challenges

Real interest rates have been persistently below historical norms over the past decade, leading economists and policymakers to view the equilibrium real interest rate as likely to be low for some time. Various definitions and approaches to estimating the equilibrium real interest rate are examined, including approaches based on the term-structure of interest rates and small macroeconomic models. The individual-country approaches common in the literature are extended to allow for global trend and cyclical factors. The analysis finds that global factors dominate the downward trend in the ...
Finance and Economics Discussion Series , Paper 2019-076

Working Paper
Global Trends in Interest Rates

The trend in the world real interest rate for safe and liquid assets fluctuated close to 2 percent for more than a century, but has dropped significantly over the past three decades. This decline has been common among advanced economies, as trends in real interest rates across countries have converged over this period. It was driven by an increase in the convenience yield for safety and liquidity and by lower global economic growth.
Working Papers , Paper 1812

FILTER BY year

FILTER BY Content Type

FILTER BY Author

FILTER BY Jel Classification

E44 2 items

E21 1 items

E22 1 items

E32 1 items

E43 1 items

E63 1 items

show more (3)

PREVIOUS / NEXT