Reference rate markets are a central feature in capital markets around the world that enable lenders to expand financing possibilities for the business sector and reduce exposure to risks of unexpected changes in the interest rate. However, due to the many manipulations of reference rates...

This study analyzes the long-term government bond yields in OECD member countries over time and estimates the factors that affect these yields. The explanatory factors are divided into three groups: Structural factors that dictate the natural interest rate; cyclical factors that follow the...

This study derives the dynamics of two macroeconomic factors which determine the real rates in the economy by estimating CPI-indexed bonds yields. The proposed macro-yields model emphasizes the links between macroeconomic variables and the state variables derived from the affine term-structure...

Professor Friedman restates his three reasons for adding credit to the list of intermediate targets for monetary policy: (1) policymakers should broaden their sources of information to include observations on both the asset and liability sides of the public's balance sheet; (2) the domestic...

Attention has been given recently to the issue of targeting a credit aggregate or to using information on a credit aggregate in addition to information on monetary aggregates in the implementation of monetary policy

Inflation in Israel has been below the inflation target for over two years now and inflation expectations at short horizons have followed actual inflation to below the target. The low inflation outturns are the result of sharp, negative external and domestic price level shocks, including the...