Business Economics articles from October 2001

Business Economics archives from October 2001

From the Editor.(Brief Article)
October 1, 2001... In this Issue Preparation of this issue was under way when the events of September 11 took place. This column is not the place for commentary, other than to observe that in some ways economic priorities and activities will be significantly...

What Would Adam Smith Say Now?: He would Like Much of What he Sees, But he would Also be Worried.
October 1, 2001... The breadth and depth of Adam Smith's thought over 200 years ago still provide powerful lessons today. Were he present, he would applaud much of what has transpired in the organization of economic life, particularly in the U.S. economy and its...

Productivity: What Is It, and Why Do We Care About It?: Disaggregation by Source and Sector Yields Important Insights.
October 1, 2001... Economists, business analysts, and policymakers have all focused considerable attention on U.S. productivity growth in recent years. This paper presents a broad overview of productivity--both labor and total factor--and discusses why it is such...

The Internet's Contribution to U.S. Productivity Growth: Putting Some Rigor Into the Estimates.(Statistical Data Included)
October 1, 2001... How much has the Internet contributed to recent productivity performance in the U.S. economy? While Oliner and Sichel (2000), using "back of the envelope" calculations, found that it had no impact, Litan and Rivlin (2001), using "judgmental...

Errata: Askari et al, "U.S. Economic Sanctions: Lessons from the Iranian Experience," July, 2001.(Brief Article)(Correction Notice)(Illustration)(Statistical Data Included)
October 1, 2001... A transformation error was made in all four columns of the gravity model estimates in Table 2. Moreover, the estimates of Hufbauer's disaggregated results should be discarded because we did not use the correct data for his dummy variables....

Comparative Central Banking and the Politics of Monetary Policy: The Relationship Between Governments and Central Banks Must be Balanced and Defined.
October 1, 2001... All central banks must steer a careful course between independence and accountability. There are four important mechanisms: legislative mandate, instrument independence, informal interactions with government, and government procedures to foster...

Comments on International Perspectives on the Process of Monetary Policy Formulation.
October 1, 2001... The deliberations of central banks can be compared to those of judicial panels. Both have traditionally deliberated in private. In democracies, the judiciary issues detailed, after-the-fact reasoning behind its decisions. However, until...

Monetary Policy Formulation: The Process in Canada; Inflation Targeting has been Successful.
October 1, 2001... Experience in Canada and elsewhere has demonstrated that inflation targeting is a clear and effective way of achieving low inflation. As a result, financial, product, and labor markets have adjusted their longer-term inflation expectations and...

Monetary Policy Formulation in the Euro Area: The Focus is Solely on Price Stability.
October 1, 2001... The primary objective and unambiguous mandate of the European Central Bank (ECB) is price stability in the euro area. The ECB's objective is to provide a stable environment that is supportive of long-term growth rather than short-term fine...

Some Reflections on the Bank of England's Monetary Policy Committee: Inflation has Stayed Low and Growth has Stayed High.
October 1, 2001... The new monetary policy framework in the UK has made an encouraging start, as inflation expectations have fallen to around target. This does not appear to have come at the cost of growth, as the unemployment rate has continued to fall, and...

Monetary Policy and Financial Markets: Two Hands Clapping; The Value of Good Financial Communication Flows Both Ways.
October 1, 2001... Clear and effective communication between central bankers and financial markets helps to establish and reinforce credibility of policy. During the Greenspan era, the Fed has made major strides in effective communication and has largely avoided...

Central Banks and the Financial Press: What is Going Well and What can be Improved.
October 1, 2001... The financial press is playing a critical and growing role in communicating central bank policy. The result has been more effective central bank policy and better risk management in financial markets. A critical role of the financial press is...

Economic Impacts of the World Trade Center and Pentagon Attacks. (Forum on Emerging Issues).
October 1, 2001... Business economists have new responsibilities and opportunities to help their organizations cope. This note presents a preliminary assessment of the major impacts on the U.S. economy flowing from the World Trade Center and Pentagon...

Empirical Corporate Finance (Volumes I, II, III and IV). (Book Reviews).
October 1, 2001... Edited by Michael J. Brennan. 2001. Cheltenham, UK: Edward Elgar Publishing Limited. Volume I 576 Pp. Volume II 511 Pp. Volume III 642 Pp. Volume IV 513 Pp. $740 hardcover. These four volumes (72 articles) provide an overview of the...