Home

    About

    Open Access Repository

    SearchBrowse by ThemeBrowse by AuthorBrowse by TypeMost Popular Titles

    Other Resources

    Curators

    Events

    Contributing Think Tanks

    Networks

    Using Content

    FAQs

    Terms of Use

    13,800+ curated items from top Think Tanks.
    JavaScript is disabled for your browser. Some features of this site may not work without it.

    Home

    About

    Open Access Repository

    SearchBrowse by ThemeBrowse by AuthorBrowse by TypeMost Popular Titles

    Other Resources

    Curators

    Events

    Contributing Think Tanks

    Networks

    Using Content

    FAQs

    Terms of Use

    The International Transmission of U.S. Monetary Policy on the Korean Economy

    Kim, Hyo Sang | November 2016
    Abstract
    With the U.S. economy looking resilient, the Federal Reserve ("the Fed") is pushing to normalize the stance of monetary policy. The Fed ceased the bond-purchasing program (QE) in October 2014, and raised the federal fund rate in December 2015 for the first time since the 2008 global financial crisis. People worry that the Fed's contractionary monetary policy may have negative influences on emerging economies, referred to as the spill-back effect. In May 2013, Ben Bernanke, the former Chairman of the Federal Reserve, mentioned that the Fed may taper the size of the QE (taper tantrum), and emerging economies experienced sudden capital outflow in the short run; on average, a 7.0 percent devaluation of emerging economy currencies and 12.0 percent drops in the stock market. Ko-rea was not an exception, as foreign investors in Korea sold KRW 5 trillion (USD 4.4 billion) worth of stocks in one month (June 2015); the Korean stock market index fell 9.8 percent and the Korean won devalued by 4.1 percent. Similar patterns emerged for the first increase of the federal funds rate in December 2015. However, those negative impacts were recovered within one quarter. Thus, under the sluggish recovery of the US and the world economy, those negative effects will be relatively short run and limited.
    Citation
    Kim, Hyo Sang. 2016. The International Transmission of U.S. Monetary Policy on the Korean Economy. © Korea Institute for International Economic Policy. http://hdl.handle.net/11540/10554.
    Keywords
    Macroeconomic
    Macroeconomic Analysis
    Macroeconomic Framework
    Macroeconomic Models
    Macroeconomic Performance
    Macroeconomic Planning
    Macroeconomic Policies
    Macroeconomic Reform
    Macroeconomic Stabilization
    Results-Based Monitoring And Evaluation
    Project Evaluation & Review Technique
    Project Evaluation
    Program Evaluation
    Performance Evaluation
    Operations Evaluation
    Evaluation Methods
    Evaluation
    Social condition
    Economic dependence
    Economic assistance
    International monetary relations
    International monetary relations
    International trade
    National accounting
    Market
    Project impact
    Development projects
    Program management
    Performance appraisal
    Project appraisal
    Technology assessment
    Economic indicators
    Growth models
    Gross domestic product
    Macroeconomics
    Economic forecast
    Exports
    Exports
    Exchange
    Comparative economics
    Index number
    Monetary policy
    Value analysis
    Adjustment cost
    Transaction cost
    Conditionality
    International relations
    Cumulative effects assessment
    Grievance procedures
    Participatory monitoring and evaluation
    Exchange rate
    Economic development projects
    Economic policy
    Economic forecasting
    Exchange rates
    Show allCollapse
    Citable URI
    http://hdl.handle.net/11540/10554
    Metadata
    Show full item record
    Thumbnail
    KIEPopinions_no96.pdf (216.4Kb)
    Author
    Kim, Hyo Sang
    Theme
    Economics
    Evaluation
     
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise