IMF head warns of dangers of capital flows Nov 16, 2009
Policymakers had a range of tools to limit the adverse effects, including exchange rate appreciation and tighter fiscal policy, he added. - Reuters. (Business Report, South Africa)
The bold decision to try 9/11 terrorists in NYC Nov 15, 2009
From that moment on, the majority always vote for the candidates who promise the most benefits from the public treasury, with the result that every democracy will finally collapse due to loose fiscal policy, which is always followed by a dictatorship. The Free Lunch crowd is in control now. (Atlanta Journal-Constitution -- Opinion)
TFS Financial Corporation Announces Fourth Quarter and Year Ended September 30, 2009 Financial Results Nov 15, 2009
significantly increased competition among depository and other financial institutions; * inflation and changes in the interest rate environment that reduce our interest margins or reduce the fair value of financial instruments; * general economic conditions, either nationally or in our market areas, that are worse than expected; * decreased demand for our products and services and lower revenue and earnings because of a recession; * adverse changes and volatility in the securities markets; *... (Primezone Releases)
Oust the bums who are elected to Congress Nov 15, 2009
Ron Paul of Texas who votes in regards to sound fiscal policy, most members of Congress continue to violate their oath of office by voting for appropriations not authorized by the Constitution. Both Socialist Party A. (Democrats) and Socialist Party B. (Republicans) are equally guilty and complicit in this criminal treason, which rightly can be defined as an affront to our republic. (Klamath Falls Herald & News, OR)
German Economy to Expand 1.6% Next Year, Merkel's Advisory Panel Predicts Nov 14, 2009
7 billion) tax cut is not compatible with serious fiscal policy. The recovery is too weak and too fragile for euphoric spending plans, the report said. (Bloomberg -- Germany)
A Leadership Role for Asia in Reshaping the Post-Crisis Global Economy, Annual Lecture by Dominique Strauss-Kahn, Managing Director of the International Monetary Fund, at the Monetary Authority of Singapore Nov 14, 2009
This applies to monetary policy, fiscal policy, and financial sector support ... They include exchange rate appreciation, tighter fiscal policy, and, where appropriate, lower interest rates. (IMF News)
Hot money may threaten emerging market stability: IMF Nov 14, 2009
"They include exchange rate appreciation, tighter fiscal policy, and, where appropriate, lower interest rates. In addition, macro-prudential instruments can limit the risk of asset price bubbles. Market-based controls on capital inflows can help reduce the volatility of such flows," he said ... "This applies to monetary policy, fiscal policy, and financial sector support. Such early planning will help the eventual unwinding of exit policies and ease the transition to more normal economic... (India Times)
Press Release: Statement of an IMF Mission on the 2009 Article IV Consultation with Morocco Nov 14, 2009
"In the context of the 2009 Article IV consultation discussions, the mission reviewed recent economic developments and the authorities strategy for mitigating the impact of the global crisis on Morocco, and discussed policies to boost economic growth, income, and employment. The mission met with ministers, senior government officials, the Central Bank Governor, as well as with representatives from the private sector and labor unions. Despite the world economic slowdown, Morocco s economic... (IMF News)
Chinese President Hu Jintao and other leaders of the APEC members started an annual meeting Saturday to explore ways of fighting the global financial crisis and achieving a sustainable world economic recovery.• Hu makes 4-point proposal to boost economy Nov 14, 2009
China has adopted a series of policies and measures to counter the international financial crisis, including a timely adjustment of its macroeconomic policies, a proactive fiscal policy and a moderately easy monetary policy, Hu said. "We have adopted a stimulus package and relevant policies and measures, and have improved them in the course of their implementation," Hu said. (Xinhuanet, China)
Mkt poised, global cues key Nov 14, 2009
Investors will also look forward to monthly inflation data to be released Saturday for cues on the pace of the central bank's exit from its fiscal policy. The government will release wholesale price inflation data for October, the first of a monthly series on Nov 14. (India Times)
Indian stocks facepower shortage Nov 13, 2009
According to the research paper, there is not much room in emerging markets for active counter-cyclical fiscal policy - such as cutting taxes during an economic downturn; and a worse combination is an emerging open economy with exchange-rate flexibility and high indebtedness. India falls into this bracket. (Asia Times Online)
Wen: 2010 World Expo chance for China, world Nov 13, 2009
China will continue to implement active fiscal policy and moderately loose monetary policy amid the mounting evidence of consolidated economic recovery, Wen said. Chinese government unveiled a 4-trillion yuan (586 billion U.S. dollars) stimulus package a year ago and industry stimulus and restructuring plans earlier this year for 10 sectors. (Xinhuanet, China)
Press Release: Statement by an IMF Mission to Guatemala Nov 13, 2009
Fiscal policy is striking a balance between supporting domestic demand and debt sustainability ... The approval of the 2010 budget bill during November would reduce uncertainties in the fiscal policy outlook. (IMF News)
* South Korean bank keeps key interest rate at record low Nov 13, 2009
We will continue to implement the active fiscal policy and moderately loose monetary policy. to facilitate the fast and steady growth of the Chinese economy, he said, according to a transcript of his speech posted on the Shanghai Expos Web site. (Taipei Times, Taiwan -- World)
Lazear joins Cornerstone Research Nov 12, 2009
He advised on economic issues such as macroeconomic and fiscal policy, energy, health, environment, tax policy, economic issues in education and student loans, immigration, unemployment, entitlement programs, trade policy, and regulatory issues involving communication and Internet access. He is also the Jack Steele Parker Professor of Human Resources Management and Economics at Stanford University s Graduate School of Business and has served as the Morris A. Cox Senior Fellow at the Hoover... (San Jose Business Journal, CA)
Exit strategies will make markets choppier: Jim O'Neill Nov 12, 2009
Do you expect US fiscal policy to remain expansionary in 2010. Do you see another stimulus package coming. (India Times)
Strength of British recovery 'highly uncertain' Nov 12, 2009
"In the United Kingdom, output had fallen by about six percent over six quarters, but a number of indicators suggested that economic activity had begun to stabilise. "A recovery in output is likely, driven by the considerable stimulus from the past easing in monetary and fiscal policy and the depreciation of sterling. "But constraints on the supply of bank credit and concerns over balance sheets will weigh on spending. "A degree of economic slack is likely to persist over the forecast period,... (Yahoo! Asia News)
Public Information Notice: IMF Executive Board Concludes the 2009 Article IV Consultation with Uruguay Nov 12, 2009
Fiscal policy has been maintained at keeping nominal expenditure growth as planned ... The monetary policy stance was appropriately tighter than in other emerging markets in light of inflation concerns, while fiscal policy was geared to broadly maintaining the significant increase in nominal expenditure as planned, allowing automatic stabilizers to work ... Directors agreed that fiscal policy should continue to aim at debt reduction. (IMF News)
China's Wen Reiterates Loose Policy Stance Nov 12, 2009
BEIJING (Reuters) - China will stick to its active fiscal policy and loose monetary measures even though its economic recovery is now on more solid footing, Premier Wen Jiabao said on Thursday. Wen's comments are the latest reiteration of Beijing's accommodative policy stance, and follow data for October that showed stronger-than-expected industrial output growth of 16. (ABC News -- Wire)
APEC finance ministers meeting opens Nov 11, 2009
APEC finance ministers meet to discuss fiscal policy, growth restoration_English_Xinhua. APEC finance ministers meet to discuss fiscal policy, growth restoration ... SINGAPORE, Nov. 11 (Xinhua) -- The 16th APEC Finance Ministers' Meeting opened Wednesday at Singapore's Suntec Convention Center, focusing on fiscal policy and how to restore growth in the post-crisis period. (Xinhuanet, China)
Balance Of Payment Deteriorates Into Deficit CEPA Nov 11, 2009
It is of the view that a highly expansionary fiscal policy as a result of election-year spending led to an increased demand for imports, and high inflation and inflationary expectations. At the same time, the inability to pass-on the effects of changes in world market prices of crude oil and petroleum products and the depreciation of the cedi compounded the situation. (Ghana Web, Ghana)
German investor confidence drops Nov 11, 2009
"That also has something to do with the fact that recent favourable developments were driven by fiscal policy measures.". The euro dipped against the dollar immediately after the news, falling from $1. (BBC News -- Business)
Press Release: Latin America and Caribbean Recover from Effects of Global Crisis, but Policy Challenges Remain, IMF Report Says Nov 11, 2009
That has allowed the country to apply a counter-cyclical fiscal policy in 2009, including more public investment to support internal demand and the social protection network ... This should include enhanced fiscal policy frameworks, and financial regulation and supervision practices that incorporate the lessons learned from the recent financial crises in other regions ... Towards the future, it will be important to protect this capacity to react to adverse external shocks, including with... (IMF News)
Press Release: IMF Executive Board Approves US$1.7 Billion Stand-By Arrangement for the Dominican Republic Nov 10, 2009
The lack of adequate financing, however, constrained the conduct of countercyclical fiscal policy. The authorities macroeconomic framework, supported by a Stand-by Arrangement with the Fund, aims to limit the effects of the global recession on the economy through the implementation of short-term countercyclical polices, while establishing the conditions for robust, sustainable growth. (IMF News)
UK retailers say sales bounced back in October Nov 10, 2009
"The longer-term outlook remains considerably more challenging, given the economic backdrop, levels of unemployment, uncertainty regarding the impending (sales tax) rise and the impact of future fiscal policy following next year's election," said Helen Dickinson, head of retail KPMG, which cooperated in preparing the BRC report. On the up side, conditions are benign "with less discount activity as most retailers approach Christmas with less bought in stock," said Freddie George, retail analyst... (OregonLive, OR -- Business)
Easy policy exit in due course: FM Nov 10, 2009
"The prime minister, I understand, has responded to this question. This cannot continue for a long period of time," Mukherjee told a meeting at the World Economic Forum, referring to the exit from easy fiscal policy. "It will happen in due course. We shall have to take corrective measures," he said. (India Times)
Australia stimulus needed for recovery Nov 9, 2009
But Swan said the Reserve Bank was entirely comfortable with our fiscal policy and business investment remained weak. One of the reasons weve done so well is that many employers out there know that through our stimulus there is a pipeline of activity which they can use to keep workers on and also to invest in capacity, he said. (The Star Online, Malaysia -- Business)
Stimulus to stay, insists Swan Nov 9, 2009
Monetary and fiscal policy are working in the same direction. Both are gradually being withdrawn but both are expansionary. (Sydney Morning Herald -- Business)
Bonds Decline as Asian Stocks Advance; Yields Climb to Highest Since June Nov 9, 2009
Market sentiment is deteriorating due to uncertainties over fiscal policy, said , chief market economist at Mizuho Securities Co. in Tokyo. There may be some selling before the auction. (Bloomberg -- Japan)
Look at jobless to measure recession Nov 8, 2009
To the trained eye, what you see is an unexpected triumph for Keynesian stimulus and the clear indication that fiscal policy will return to a contractionary stance long before monetary policy does ... In other words, the ''stance'' of fiscal policy is about to swing from expansionary to contractionary ... Thus fiscal policy is about to go contractionary, whereas the stance of monetary policy won't be contractionary until the (distant) day when the official interest rate is raised above the... (Sydney Morning Herald -- Business)
Australia Treasurer says stimulus needed for nation's recovery Nov 8, 2009
" The Australian government has come under pressure to remove the stimulus, particularly after the central Reserve Bank of Australia lifted interest rates from 50-year lows in October and unemployment unexpectedly dropped to 5.7 per cent in September. But Swan said the Reserve Bank was "entirely comfortable with our fiscal policy" and business investment remained weak. "One of the reasons we've done so well is that many employers out there know that through our stimulus there is a pipeline of... (Channelnewsasia.com)
G20 ministers meet in St Andrews Nov 7, 2009
Co-ordinating fiscal policy will be on the agenda, as well as how to police global financial and banking systems. Protests are planned on Friday and Saturday to call for more action to tackle unemployment and climate change. (BBC News -- Europe)
Bonds fall on govt borrowing plan Nov 7, 2009
The first step in reversal of expansionary fiscal policy should be taken up in February 2010 in the form of a cut in expenditure to GDP and an increase in production tax rates, he added. The rupee closed higher at 46. (India Times)
Triumph of fiscal delusion over economic reality Nov 7, 2009
To the trained eye, what you see is an unexpected triumph for Keynesian stimulus and the clear indication that fiscal policy will return to a contractionary stance long before monetary policy does ... In other words, the stance of fiscal policy is about to swing from expansionary to contractionary ... Thus fiscal policy is about to go contractionary, whereas the stance of monetary policy won't be contractionary until the (distant) day when the official interest rate is raised above the neutral... (Sydney Morning Herald -- Business)
Extra 25bn to stimulate economy Nov 6, 2009
"We suspect this will mark the last stimulus effort from the Bank of England, with the next move being to rate hikes, possibly starting in August after the Bank has assessed the impact from any potential fiscal policy changes in the wake of next year's election," said James Knightley, an economist at ING.. Finely balanced. (BBC News -- Business)
Bank pumps $41B into UK economy Nov 6, 2009
On the one hand, loose monetary and fiscal policy offered the prospect of a substantial stimulus to growth, and the weak pound should improve the competitiveness of UK producers. But on the other hand, the committee said that "the need for banks to continue the process of balance sheet repair is likely to limit the availability of credit. And high levels of debt will weigh on spending.". (CNN -- World)
Buttonwood: Exit, followed by a bear Nov 6, 2009
The consensus seemed to be that, in Britain s case, loose monetary policy might be appropriate but fiscal policy needed to be tightened ... That said, if governments tighten fiscal policy too early, they risk sending economies back into recession. (The Economist)
Government Needs to Improve Communication With Bank of Japan, Tsumura Says Nov 6, 2009
The new governments strategy of making domestic demand drive the hasnt been fully conveyed to the Bank of Japan, , one of the top three officials for economic and fiscal policy, said in an interview in Tokyo ... Tsumura said those meetings are insufficient and separate forums should be held to discuss specific topics such as fiscal policy and. (Bloomberg -- Japan)
Long-term jobless face frayed safety net Nov 6, 2009
Theyve gone through their savings, said James Parrott, chief economist of the Fiscal Policy Institute, a New York state think tank. You can pretty much expect that they will take every dollar they get in extended unemployment benefits and spend that money to cover basic essentials for living. (MSNBC -- Politics)
Health Reform Faces Moment Of Untruth Nov 5, 2009
As it recently told Congress, "Slowing the growth rate of outlays for Medicare and Medicaid is the central long-term challenge for federal fiscal policy.". President Obama seems to agree. (Investors Business Daily)
Press Release: Statement of the IMF Mission on the 2009 Article IV Consultation Discussion with Algeria Nov 5, 2009
The main objective of Algeria s 2010 fiscal policy should be to sustain the effort to improve infrastructure while continuing to enhance its control over expenses and their targeting ... Nevertheless, with a view to reorienting fiscal policy to a path of long-term fiscal sustainability, it would be appropriate to refine the rules governing the financing of budgetary expenditures by hydrocarbon resources, and further streamline fiscal expenditures as well as mobilize larger nonhydrocarbon... (IMF News)
'Debt high, too early to adjust policies' Nov 4, 2009
Speaking on a conference call with reporters, he said fiscal policy in advanced economies would likely remain supportive through next year, but fiscal tightening is expected to begin in faster-growing, emerging market countries in 2010 ... "This is not the moment to tighten fiscal policy, but it is the time to think how to adjust fiscal policy in the future if we want to avoid an increase in interest rates and for crowding-out effects which would lower potential growth over the medium term," he... (India Times)
Transcript of a Conference Call on the November 2009 Cross-Country Fiscal Monitor Nov 4, 2009
Fiscal policy will continue to provide substantial support to aggregate demand and economic activity this year and is projected to remain supportive of economic activity in advanced countries in 2010 ... At the same time, the Monitor underscores that it is important that governments design and communicate credible exit strategies to ensure that this rise in public debt does not prompt concerns about fiscal policy, because these concerns may result in higher interest rates and therefore slow down... (IMF News)
Press Release: Maintain Fiscal Support, but Devise Credible Exit Strategies, IMF’s Fiscal Monitor Says Nov 4, 2009
Fiscal policy will continue to provide substantial support to aggregate demand in most countries this year, and is projected to remain supportive of economic activity in advanced countries in 2010, the International Monetary Fund (IMF) said in its latest edition of the. Though maintenance of fiscal support remains appropriate, governments need to devise and communicate credible exit strategies now. (IMF News)
People’s Republic of China—Hong Kong Special Administrative Region Preliminary Conclusions of the 2009 Article IV Mission Nov 3, 2009
People s Republic of China Hong Kong Special Administrative Region Preliminary Conclusions of the 2009 Article IV Mission. Free Email Notification. (IMF News)
Suriname-2009 Article IV Consultation Concluding Statement of the IMF Mission Nov 3, 2009
At the same time, it will be important that fiscal policy be consistent with macroeconomic stability, fiscal sustainability, and the country s capacity constraints. To this end, the mission advises the authorities to. (IMF News)
China's economic policies, RMB exchange rate to remain stable: commerce minister Nov 2, 2009
In the following months, China would maintain stability of the macro-economic policies, stick to the proactive fiscal policy and moderately easy monetary policy, Chen said. Meanwhile, the RMB exchange rate should also maintain relatively stable so that domestic manufacturers and exporters can better predict and adjust to the market, Chen added. (Xinhuanet, China)
Marcus likely to keep her cool in the central bank's hot seat Nov 2, 2009
While supporters of the two people responsible for implementing sound monetary and fiscal policy admire them for taking a tough stand in the face of opposition from the Left, trade union federation Cosatu has described both as "arrogant". The personality at the helm of the central bank may be changing, but the debate will continue. (Business Report, South Africa)
Press Release: Statement at the Conclusion of an IMF Article IV Consultation with Kenya Oct 31, 2009
Thanks to prudent economic policies that helped reduce public debt as a share of gross domestic product (GDP), Kenya had the necessary space to ease fiscal policy and help sustain domestic demand in the face of slowing economic growth. The Central Bank of Kenya (CBK) adhered to its monetary target, and given the weakening demand for private sector credit, short term interest rates declined, contributing to an easing of budgetary pressures on domestic debt service. (IMF News)
Let's repeal Medicare payment formula Oct 31, 2009
Band-Aid fixes aren't smart fiscal policy; nor are they a smart way to maximize efforts by physicians and others to optimize the quality of patient care. The way we practice medicine in 2009 has progressed in leaps and bounds since Medicare was founded over 40 years ago. (Anchorage Daily News)
Brazil's September Budget Deficit Widens to Nine-Month High of $13 Billion Oct 31, 2009
Part of the premium on the long end of the yield curve is being caused by expansionary fiscal policy, she said. The yield on the interest rate future contract for January 2011 delivery, the most actively traded on Sao Paulos Bolsa de Mercadorias & Futuros, rose three basis point to 10. (Bloomberg -- Latin America)
White House: 650,000 jobs created or saved Oct 31, 2009
gov is that more than 80 percent of the Recovery Acts spending through Sept. 30 is outside of job-reporting requirements, according to the Center on Budget and Policy Priorities, a Washington-based policy group that follows fiscal policy. That includes nearly $130 billion in tax cuts, Medicaid assistance for states, and expanded unemployment and food stamp benefits. (MSNBC -- Politics)
Bangladesh—2009 Article IV Consultation: Preliminary Conclusions of the IMF Mission Oct 31, 2009
Bangladesh 2009 Article IV Consultation: Preliminary Conclusions of the IMF Mission. Free Email Notification. (IMF News)
What next for US economy? Oct 30, 2009
I do not expect the Obama administration to make any drastic turn in fiscal policy. In addition, low inflation will stay and allow the Fed to maintain low short-term rates, with only a limited decline in the balance sheet. (BBC News -- Business)
Newcomers vie for valley mayors: Four new names on Providence, Smithfield tickets Oct 30, 2009
The father of four says that going forward with a sound fiscal policy would be one of his priorities. He would also like closer ties with the Chamber of Commerce to attract more businesses, which would help the tax base. (Logan Herald Journal, UT)
Republic of Kazakhstan -- Concluding Statement of the October 2009 IMF Mission Oct 30, 2009
Fiscal policy has been correctly centered on providing support to the economy, and will continue to do so in the near future ... The new approach to fiscal policy should incorporate these operations and their corresponding financing into the analysis to ensure accurate assessment of the impact of the fiscal impulse on the economy, timely action at calibrating the stimulus-oriented spending, and proper recognition of potential contingent liabilities ... Steady saving of oil revenues would help... (IMF News)
Pelosi's biggest one yet! 1,990 pages... Oct 30, 2009
From that moment on, the majority always votes for the candidates promising the most benefits from the public treasury with the result that a democracy always collapses over loose fiscal policy, always followed by a dictatorship. The average age of the world's greatest civilizations has been 200 years. (The Drudge Report)
Germany: Angela's new team claims its seats... Oct 30, 2009
He says his first priority is to promote growth, but refuses to promise big tax cuts next year; he will play fiscal policy by ear. That is sensible in uncertain times but says little about the biggest decision facing the new government: will it slash spending to balance the tax cuts, water down tax reform or accept higher deficits. (The Economist)
Recession expected to abate in 2010 Oct 30, 2009
The over-arching concern is the responsiveness of the credit environment for businesses which may get tripped up from fiscal policy and inflation for consumers who may see more impacts from resets of residential mortgages, and for the fiscal weakness of state and local governments, Tullos says. Job growth is another unknown. (San Antonio Business Journal, TX)
Press Release: Statement at the Conclusion of an IMF Staff Mission to Zambia Oct 29, 2009
The government is to be commended for its handling of fiscal policy in 2009. The economic program for 2010 is premised on a budget, now being discussed in Parliament, that maintains an appropriately supportive stance in a resource-constrained environment. (IMF News)
Press Release: IMF Executive Board Completes Review of Colombia’s Performance under the Flexible Credit Line Oct 29, 2009
Since the FCL was approved, monetary policy has been eased further, while inflation expectations remained anchored; the exchange rate has continued to be an effective shock absorber; fiscal policy has helped sustain domestic demand, in particular through an increase in public investment; and, the financial system has continued to show resilience in the context of effective financial sector supervision. Looking ahead, monetary policy will continue to be guided by the inflation targeting framework... (IMF News)
Public Information Notice: IMF Executive Board Concludes Article IV Consultation with Nigeria Oct 29, 2009
They therefore welcomed the authorities prudent approach to fiscal policy, and its focus on actions to improve budget execution and enhance public financial management as well as to increase fiscal space. Building on past success with the oil-price-based fiscal rule, fiscal policy over the medium term will need to be more consistently counter-cyclical in order to neutralize the macroeconomic impact of swings in oil prices and support private sector-led growth. (IMF News)
Stuy election choices Oct 29, 2009
They also maintain a strong fiscal policy. After providing the maximum legal exemptions allowed by law, Stuyvesant continues with one of the lowest tax rates in Columbia County. (Hudson Register Star, NY)
FYR Macedonia -- 2009 Article IV Consultation, Concluding Statement Oct 28, 2009
Free Email Notification. Receive emails when we post new items of interest to you. (IMF News)
Job gains signal stimulus impact Oct 28, 2009
Carol Bingham, director of fiscal policy for the California Department of Education, estimated the stimulus saved about 20,000 teaching positions. But she and others warn that precisely counting saved jobs has proved almost impossible. (USA Today)
