A Flow-of-Funds Perspective on the Financial Crisis Volume I: Money, Credit and Sectoral Balance Sheets (Palgrave Macmillan Studies in Economics and Banking)

Provides a comprehensive overview of a broad range of uses of the flow of funds within the central bank community as well as in the academic field, prepared by international experts in the field. Based on the crisis experience, it offers an overview of lessons for macrofinancial analysis and financial stability. Flow-of-funds accounts are a component of the national accounts system reporting the financial transactions and balance sheets of the economy, classified by sectors and financial instruments. The biggest financial crisis in a lifetime has shown how important it is to have a deep knowledge of the financial balance sheets of the main sectors of the economy and the financial flows that take place between them. This type of information is essential for a proper understanding of the transmission of monetary and financial shocks through the economy, thereby complementing traditional monetary analysis centred on bank balance sheets. This publication takes a flow-of-funds perspective of the financial crisis. The book highlights the ongoing efforts in the central bank and academic community to gain a deeper understanding of the implications of the financial crisis for monetary analysis and to develop empirical tools to extract regularities from the rich flow-of-funds dataset. The authors cover in this respect the full range of financial assets held by different sectors of the economy, including the balance sheet of financial intermediaries, bank leverage issues and their implications for the supply of credit to the economy, as well as the portfolio choices, savings behaviour and debt financing of households and non-financial corporations. Over time, this should enable monetary policy-makers to apply the new insights and instruments for a richer analysis of credit cycles and the transmission of monetary policy via flow-of-funds variables Front Matter....Pages i-xxii Introduction and Overview....Pages 1-9 Front Matter....Pages 11-11 The Quantity Theory of Money Revisited....Pages 13-21 The Quantity Theory of Credit and Some of Its Policy Implications....Pages 22-45 Euro Area Money Demand and International Portfolio Allocation: A Contribution to Assessing Risks to Price Stability....Pages 46-93 Global Liquidity and Credit Booms....Pages 94-124 Dual Liquidity Crises under the Gold Standard and in a Monetary Union: A Financial Accounts Perspective....Pages 125-145 Determinants and Consequences of Credit Tightening: An Analysis of the United States and the Euro Area....Pages 146-174 Front Matter....Pages 175-175 Financial Intermediary Balance Sheet Management....Pages 177-202 Bank Leverage and the Credit Cycle in the Euro Area: A Bayesian Semi-Parametric Approach....Pages 203-235 Households’ Financial Portfolio Choices: A Comparison between France and Germany (1978–2009)....Pages 236-256 Household Balance Sheets and Debt: An International Country Study....Pages 257-270 Analysing Recent Developments in the Financing of Euro Area Non-Financial Corporations....Pages 271-295 Monetary Policy and the Flow of Funds in the Euro Area....Pages 296-317 Back Matter....Pages 318-326 Funny Gag Gift Idea For Your Friends, Coworkers And Bossare You Looking For A Funny Gift For A Coworker Or Friend? This Is A Blank, Lined Journal With Black Cover That Makes A Perfect Gag Gift For Friends, Coworker And Family, Male Or Female. Other Features Of This Notebook Include: 120 Pages 6x9 Inches, Excellent And Thick Binding Durable White Paper Sleek, Matte-finished Cover For A Professional Look. This Blank Lined Notebook Is A Convenient And Perfect Size To Carry Anywhere For Writing And Note Taking. If You Would Like An Unlined Journal, Please Take A Look At Our Other Products For Great Gift Ideas.