International Dimensions of Monetary Policy (National Bureau of Economic Research Conference Report)

United States monetary policy has traditionally been modeled under the assumption that the domestic economy is immune to international factors and exogenous shocks. Such an assumption is increasingly unrealistic in the age of integrated capital markets, tightened links between national economies, and reduced trading costs. __International Dimensions of Monetary Policy__ brings together fresh research to address the repercussions of the continuing evolution toward globalization for the conduct of monetary policy. In this comprehensive book, the authors examine the real and potential effects of increased openness and exposure to international economic dynamics from a variety of perspectives. Their findings reveal that central banks continue to influence decisively domestic economic outcomes—even inflation—suggesting that international factors may have a limited role in national performance. __International Dimensions of Monetary Policy__ will lead the way in analyzing monetary policy measures in complex economies. In This Comprehensive Book, The Contributors Examine The Real And Potential Effects Of Increased Openness And Exposure To International Economic Dynamics From A Variety Of Perspectives. Introduction / Jordi Gali And Mark Gertler -- Globalization And Monetary Control / Michael Woodford -- Comment: David Romer -- The Transmission Of Domestic Shocks In Open Economies / Christopher Erceg, Christopher Gust And David López-salido -- Comment: Malin Adolfson -- International Transmission And Monetary Policy Cooperation / Günter Coenen, Giovanni Lombardo, Frank Smets And Roland Straub -- Comment: Christopher A. Sims -- Current Account Dynamics And Monetary Policy / Andrea Ferrero, Mark Gertler, And Lars E.o. Svensson -- Comment: Paolo Pesenti -- Monetary Rules In Emerging Economies With Financial Market Imperfections / Nicoletta Batini, Paul Levine, And Joseph Pearlman -- Comment: Frederic S. Mishkin -- Optimal Monetary Policy And The Sources Of Local-currency Price Stability / Giancarlo Corsetti, Luca Dedola, And Sylvain Leduc -- Comment: Philippe Bacchetta -- The Macroeconomic Effects Of Oil Price Shocks: Why Are The 2000s So Different From The 1970s? / Olivier J. Blanchard And Jordi Galí -- Comment: Julio J. Rotemberg -- Global Forces And Monetary Policy Effectiveness / Jean Boivin And Marc P. Giannoni -- Comment: Lucrezia Reichlin -- Rejoinder By Jean Boivin And Marc P. Giannoni -- Monetary Policy In Europe Versus The U.s.: What Explains The Difference? / Harald Uhlig -- Comment: Andrew Levin -- Globalization And Inflation Dynamics: The Impact Of Increased Competition / Argia M. Sbordone -- Comment: Tommaso Monacelli -- The Effects Of Globalization On Inflation, Liquidity And Monetary Policy / Lucas Papademos -- Globalization And Monetary Policy: Missions Impossible / John B. Taylor -- Panel Remarks / Donald L. Kohn, Rakesh Mohan, José Viñals. Edited By Jordi Galí And Mark Gertler. Papers From A Conference Held June 2007 In Spain. Includes Bibliographical References And Indexes. "United States monetary policy has traditionally been modeled under the assumption that the domestic economy is immune to international factors. Such an assumption is increasingly unrealistic in the age of integrated capital markets, tightened links between national economies, and reduced trading costs. International Dimensions of Monetary Policy brings together fresh research to address the repercussions of the continuing evolution toward globalization for the conduct of monetary policy." "In this comprehensive book, the authors examine the real and potential effects of increased openness and exposure to international economic dynamics from a variety of perspectives. Their findings reveal that central banks continue to influence decisively domestic economic outcomes - even inflation - suggesting that international factors may have a limited role in national performance. International Dimensions of Monetary Policy will lead the way in analyzing monetary policy measures in complex economies."--Jacket