The Resource Three essays on open economy macroeconomics, Guilherme de Almeida Bandeira

Three essays on open economy macroeconomics, Guilherme de Almeida Bandeira

Label
Three essays on open economy macroeconomics
Title
Three essays on open economy macroeconomics
Statement of responsibility
Guilherme de Almeida Bandeira
Creator
Contributor
Subject
Language
eng
Summary
This thesis consists of three papers on open economy macroeconomics. The rst paper investigates the welfare implications of a scal transfer rule between members of a monetary union. I build a two-country model where banks are exposed to sovereign risk. I show that the costs of expansionary scal policy can outweigh the bene ts due to the added pressure on sovereign spreads. This is magni ed when the scal stance is weak. On the contrary, inter-governmental transfers mitigate the scal strain and provide stimulus to the economy. Yet, I nd that sound scal stances are crucial both for governments to countervail shocks on their own, and also to grant support for the implementation of the transfer scheme. The second paper lays out an empirical model to compare the propagation of exogenous shocks in a small open economy subject to structural change. As the identi cation of shocks is time invariant, I am able to investigate the di erences that pertain only to structural change. I estimate the model to Australia and nd a regime transition occurring in 1990. The responses of domestic variables to the shocks are less exacerbated and adjust quicker after the transition. I nd that increases in commodity prices are only in ationary after 1990 and as a reaction to world demand shocks, whereas commodity-market shocks are recessionary. In the last paper, I study the implications of relative wage rigidities for monetary policy in a small commodity-exporting economy. I present a model where wages in the non-commodity sector are indexed to wages in the commodity sector, generating relative wage rigidities. For a high degree of indexation, I nd some in ation is desirable. As wages are set in nominal terms, in ation partially o sets the e ects of indexation on real wages. Nevertheless, as indexation is itself in ationary, the response of monetary policy to in ation still needs to be stronger. I show that policy misspeci cation is more problematic for higher degrees of indexation
Cataloging source
FIE
http://library.link/vocab/creatorName
Bandeira, Guilherme de Almeida
Date time place
Defence date: 10 March 2016
Dissertation note
Thesis (Ph. D.)--European University Institute (ECO), 2016.
Index
no index present
Literary form
non fiction
Nature of contents
theses
http://library.link/vocab/relatedWorkOrContributorName
European University Institute
Series statement
  • EUI PhD theses.
  • EUI theses
http://library.link/vocab/subjectName
  • Macroeconomics
  • Macroeconomics
  • Monetary policy
Label
Three essays on open economy macroeconomics, Guilherme de Almeida Bandeira
Link
http://hdl.handle.net/1814/40465
Instantiates
Publication
Note
Examining Board: Professor Evi Pappa, EUI, Supervisor; Professor Juan Dolado, EUI; Professor Mariano Kulish, UNSW Business School; Professor Evangelos Vassilatos, Athens University of Economics and Business
Bibliography note
Includes bibliographical references (pages 177-185)
Control code
FIEb17825519
Dimensions
30 cm.
Extent
viii, 185 pages
Other physical details
illustrations
System control number
(OCoLC)1088461118
Label
Three essays on open economy macroeconomics, Guilherme de Almeida Bandeira
Link
http://hdl.handle.net/1814/40465
Publication
Note
Examining Board: Professor Evi Pappa, EUI, Supervisor; Professor Juan Dolado, EUI; Professor Mariano Kulish, UNSW Business School; Professor Evangelos Vassilatos, Athens University of Economics and Business
Bibliography note
Includes bibliographical references (pages 177-185)
Control code
FIEb17825519
Dimensions
30 cm.
Extent
viii, 185 pages
Other physical details
illustrations
System control number
(OCoLC)1088461118

Library Locations

    • Badia FiesolanaBorrow it
      Via dei Roccettini 9, San Domenico di Fiesole, 50014, IT
      43.803074 11.283055
Processing Feedback ...