Sentences with phrase «financial imbalances»

Current policy may be creating financial imbalances now, and lack of incentive for governments to get their own houses in order.

Identifying such financial imbalances is not as straightforward as it sounds, and using monetary policy to address them was seen as a potential distraction from the task of targeting inflation.

The other thing is the household financial imbalance related to housing prices.

But the dynamic effects of those growing financial imbalances on the future economy must be taken into account by policy - makers — and that is a complex task, indeed.

However a significant financial imbalance exists between accident victims and insurers.

Officials worried about financial imbalances and «overheating,» while at the same time acknowledging benefits that could come from more people participating in the work force.

Empirical research shows that a buildup of household debt in the economy makes a financial crisis more probable, so we wanted to understand the costs and benefits of leaning against financial imbalances through tighter monetary policy.

In response to a question about whether a rate cut amounted to pouring gasoline on the overheated housing market, Poloz said «We admit that these conditions are likely to cause financial imbalances,» in some cases, but that the Bank's primary goal is to ameliorate the «financial shock» to the economy caused by the drop in oil prices.

Confronted with the choice of whether to «lean» or to «clean» — leaning against emerging financial imbalances by keeping interest rates higher than they otherwise would be or cleaning up in the event the risks they create are realized by providing stimulus — central bankers at that time generally agreed that cleaning would be best.

When the economy is hit by a large and persistent adverse shock, should we accept greater downside risks to inflation to avoid exacerbating financial imbalances?

In contrast, it may be more helpful to think of risk as increasing during upswings, as financial imbalances build up, and materializing in recessions.»

This was not the only view, however, and some policymakers had argued for a number of years that there were indicators that could be used to detect financial imbalances and that in some circumstances policy settings should take these imbalances into account.

The crisis showed us how financial imbalances in one sector of one economy could be amplified and propagated across the entire financial system, leading to the worst global downturn since the Great Depression.

The reasons can be found in both domestic and global financial imbalances, in the advance of de-globalisation trends that are -LSB-...]

The statistics highlight several developments: the post-crisis contraction in aggregate international bank credit following its pre-crisis boom, mainly because of shrinking intra-advanced country flows; its continued strong expansion in many EMEs, sometimes outpacing domestic credit growth; the surge in US dollar credit there; the shift from bank to capital market financing; and the, admittedly always fuzzy, signs of the build - up of domestic financial imbalances.

The borrower shouldn't be someone that is in extreme financial misfortune, instead, the ideal borrower can be a person experiencing a temporary financial imbalance, and a lending company such as a MaxLend loan can then be used to offer a brief monetary band - aid.

First, the United States — the declining hegemonic power but still the leading driving force of the global capitalist economy — has been characterized by growing internal and external financial imbalances.

The U.S. economy will shift into higher gear next year, but financial imbalances in the credit markets and cryptocurrencies could weigh on an otherwise robust outlook, according to Goldman Sachs Group Inc. analyst Jan Hartzius.

Voting against the policy action was Thomas M. Hoenig, who believed that continuing to express the expectation of exceptionally low levels of the federal funds rate for an extended period was no longer warranted because it could lead to the buildup of financial imbalances and increase risks to longer - run macroeconomic and financial stability.

A final lesson I must touch on is that very low interest rates — and the unconventional monetary policy tools that can be deployed to enhance their effects — tend to create financial imbalances that can grow through time.

«While we have not seen the type of large credit expansions that would be most worrisome for [Federal Reserve] officials concerned about financial imbalances, there are now some signs of speculative behavior in financial markets, e.g. the cryptocurrency boom.»

Also unsurprisingly, Federal Reserve Bank of Kansas City President Esther George, dissenter - in - chief at the bank, voted against the motion to stay the course, citing «economic and financial imbalances,» as well as, further down the road, «an increase in long - term inflation expectations» as reasons for concern.

Bean C (2003), «Asset Prices, Financial Imbalances and Monetary Policy: Are Inflation Targets Enough?»

Rather I would argue that the current situation reinforces the idea that the standard operation of monetary policy should continue to be directed at the inflation target, but that it needs to be supplemented by other tools to address the ever - present threat of financial imbalances.

I view the underlying insight as a healthy realization by market participants that the risks are two - sided: Unsustainably strong growth that leads to excessive inflation or financial imbalances is now as much a risk as growth that falls short.

Nonetheless, Basel III can't prevent the formation of all financial imbalances, such as those in housing markets.

In a perfect world, we would have a macroeconomic model sophisticated enough to capture the emergence and resolution of financial imbalances, along with their related impacts on the real economy.

As a result, legitimate threats of socialism (and fascism) emerge because of the financial imbalance in society.

The unfairness of the situation goes beyond just the financial imbalance.

The former Ghana Premier League goal king parted ways with the Nairobi based team due to a financial imbalance in the team with 26 months still to run on his two - year contract.

Today, the financial imbalance in many school districts is so large that there is no alternative to teacher layoffs.

Esther L. George, who was concerned that the continued high level of monetary accommodation increased the risks of future economic and financial imbalances and, over time, could cause an increase in long - term inflation expectations.

Voting against the policy action was Thomas M. Hoenig, who believed that continuing to express the expectation of exceptionally low levels of the federal funds rate for an extended period was no longer warranted because it could lead to the buildup of financial imbalances and increase risks to longer - run macroeconomic and financial stability.

In light of the improving economy, Mr. Hoenig was concerned that a continued high level of monetary accommodation would increase the risks of future economic and financial imbalances and, over time, would cause an increase in long - term inflation expectations that could destabilize the economy.

Voting against the action was Esther L. George, who was concerned that the continued high level of monetary accommodation increased the risks of future economic and financial imbalances and, over time, could cause an increase in long - term inflation expectations.

These financial imbalances will cause a lot of stress in deficit countries, which already have intractable debt issues.

The U.S. economy will shift into higher gear next year, but financial imbalances in the credit markets and cryptocurrencies could weigh on an otherwise robust outlook,...

If there's a financial imbalance, a financial neutral can shed light on the financial situation from an unbiased vantage point — including earning potential and living expenses.

Regardless of the reason for the financial imbalance, mediation allows for both parties to have a fair process and equal opportunity for his / her questions and concerns to be heard and addressed while coming to an agreement.

Officials worried about financial imbalances and «overheating,» while at the same time acknowledging benefits...