Federal funds rate volatility
An examination of the role that monetary policy easings and reduced reserve requirements played in the increased federal funds volatility of late 1990 and early 1991.
The demand for reserves and interest rate volatility before and after EMU : an application to the Portuguese money market
We use Portuguese Money Market data to analyse the effect of the introduction of the Single Monetary Policy minimum reserve system on money market interest rate volatility. The spread between the overnight interest rate and the mid-point of the corridor of interest rate standing facilities is modelled trough GARCH models. The spread volatility shows a different behaviour before and after the EMU, consistent with increased flexibility under the new rules. JEL classification: E43; E52; G21
Deliberative Democracy and the Resource Curse: A Nationwide Experiment in Tanzania
Oil and gas discoveries in developing countries are often associated with short-sighted economic policies and, in response, calls to insulate resource management from populist impulses. We report on a randomized experiment testing methods to overcome this apparent tension between sound resource governance and democratic politics. Soon after Tanzania’s discovery of major natural gas reserves, we invited a nationally representative sample of voters to an intensive public deliberation of policy options featuring nationally recognized experts and small-group discussions. Democratic deliberation reinforced the public’s strong preference for rapid spending of gas revenues, but also increased support for various prudential and economically orthodox measures, including independent oversight of gas revenues, limits on government borrowing, and selling gas abroad rather than subsidizing fuel at home. These effects were driven by deliberation per se, rather than a pure information treatment, and show no evidence of contamination by facilitatoror peer-effects in group deliberations. www.cgdev.org Justin Sandefur, Nancy Birdsall, James Fishkin, and Mujobu Moyo