The Effects of U.S. Unconventional Monetary Policy on Asia Frontier Developing Economies / Sohrab Rafiq.

Format:

Book

Government document

Author/Creator:

Rafiq, Sohrab.

Contributor:

International Monetary Fund. Asia and Pacific Department, issuing body.

Series:

IMF Working Papers; Working Paper ; No. 2015/018

IMF Working Papers

Language:

English

Subjects (All):

Monetary policy--United States--Econometric models.

Monetary policy.

Capital movements--Asia--Econometric models.

Capital movements.

Liquidity (Economics)--Econometric models.

Liquidity (Economics).

Physical Description:

1 online resource (31 p.)

Place of Publication:

Washington, D.C. : International Monetary Fund, 2015.

Summary:

This paper explores the effect of U.S. unconventional monetary policy (QE2) on a group of frontier developing economies (FDEs) in Asia. This paper finds that spillovers emanating from the U.S. on FDEs in Asia have been small. The relative insulation of emerging Asia from the global financial cycle can likely be attributed to the presence of managed capital accounts coupled with shallow financial markets. Should U.S. monetary policy begin to normalize the direct first-round impact on developing Asia is likely to be small.

Contents:

Cover; Contents; I. Introduction; Figures; 1. Measures of Global Liquidity; II. Tracing Out the Effects of U.S. Unconventional Monetary Policy; A. Model linking U.S. Monetary Policy and the Economies of Asia FDEs; B. Identification of U.S. Policy and Nonpolicy Structural Disturbances; III. Innovation accounting of U.S. shocks on Asia FDEs; A. U.S. Nonpolicy Demand and Monetary Policy Shocks; 2. U.S. Monetary Base and Forecasts of Short-Term Interest Rates; 3. U.S. Conventional Monetary Policy Shock; 4. U.S. Nonpolicy Demand Shock; 5. U.S. Unconventional Monetary Policy Shock

B. Tracing Out U.S Shocks on Frontier Developing Economies in Asia IV. FDE Asia and Global Financial Cycle; 6. Effects of U.S. Unconventional Monetary Policy Shock on FDE Countries; 7. Counterfactual Estimates of U.S. Unconventional Monetary Policy Shocks on Frontier Developing Economies, 2009:2-2013:2; 8. Effects of U.S. Demand Shock on Frontier Developing Countries; 9. Effects of U.S. Conventional Monetary Policy Shock on FD Countries; A. The Effects of Unconventional Monetary Policy on India; 10. Measures of Capital Flows and Risk Aversion

11. Trilemma Indices Based on Aizenmann, Chinn, and Ito, 201212. Response of India to U.S. Unconventional Monetary Policy Shock; V. Summary; 13. Counterfactual Estimates of U.S. Unconventional Monetary Policy Shock on India, 2009:2-2012:3; Appendix I: Estimation of Theoretical Priors; Appendix; I. Estimation of Theoretical Priors; A. Identifying a Term Spread Shock in a Zero Interest Rate Environment; A. Identifying a Term Spread Shock in a Zero Interest Rate Environment; References

Notes:

Description based upon print version of record.

Includes bibliographical references.

Description based on online resource; title from PDF title page (ebrary, viewed March 5, 2015).

ISBN:

9781498312066

1498312063

9781498361309

1498361307