IDEAS home Printed from https://ideas.repec.org/p/oec/ecoaaa/150-en.html
   My bibliography  Save this paper

The Determinants and Properties of Monetary Conditions: Direct Survey Evidence from New Zealand

Author

Listed:
  • Andreas Fischer
  • Adrian Orr

Abstract

In the absence of a generally accepted indicator of monetary conditions the current and expected stance of monetary policy remains undefined. However, the Reserve Bank of New Zealand, by directly surveying perceived and expected monetary conditions, have enabled both a mean index of current and future monetary conditions, as well as a proxy of respondents’ uncertainty, to be generated. The principal determinants and properties of these survey responses are examined in this paper, including whether: central bank announcements dominate economic fundamentals in determining conditions; the responses are consistent over varying time horizons; and the responses are symmetrical to both a tightening and loosening in policy. The determinants of uncertainty regarding the policy-stance are also investigated empirically. The results indicate that: responses to monetary conditions are highly influenced by the recent past; respondents tend to exaggerate the implications of their short-term ... En l’absence d’un indicateur des conditions monétaires ayant fait l’objet d’un consensus général, l’orientation courante et anticipée de la politique monétaire dmeure mal définie. Néanmoins, la Banque Centrale de Nouvelle-Zélande, à l’aide d’un sondage recueillant directement les opinions sur les conditions monétaires actuelles et anticipées, a construit à la fois un indice moyen des conditions monétaires présentes et futures ainsi qu’une proxy sur l’incertitude des personnes interrogées. Les réponses du sondage permettent d’examiner les déterminants principaux et les caractéristiques des conditions monétaires, par exemple, si les annonces de la Banque Centrale l’emportent sur les paramètres fondamentaux économiques dans la détermination des conditions monétaires ; les réponses sont comparables entre différents horizons temporels, elles sont aussi symétriques dans la perception des politiques restrictives et expansives. Les facteurs à l’origine de l’incertitude concernant ...

Suggested Citation

  • Andreas Fischer & Adrian Orr, 1994. "The Determinants and Properties of Monetary Conditions: Direct Survey Evidence from New Zealand," OECD Economics Department Working Papers 150, OECD Publishing.
  • Handle: RePEc:oec:ecoaaa:150-en
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1787/528200201458
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Leo Bonato & Robert St. Clair & Rainer Winkelmann, 1999. "Survey expectations of monetary conditions in New Zealand: determinants and implications for the transmission of policy," Reserve Bank of New Zealand Discussion Paper Series G99/6, Reserve Bank of New Zealand.
    2. Andrzej Toroj, 2008. "Estimation of weights for the Monetary Conditions Index in Poland," Working Papers 27, Department of Applied Econometrics, Warsaw School of Economics.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oec:ecoaaa:150-en. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: http://edirc.repec.org/data/edoecfr.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.