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Pages
- Title
- Interest rates and inflation: An analysis of monetary policy.
- Creator
- Steele, Sandra C., Florida Atlantic University, Yuhn, Ky-hyang, College of Business, Department of Economics
- Abstract/Description
-
The main contribution of this thesis is the determination of how long it takes for an adjustment in the short-term interest rate to effect inflation. In order to ascertain this, a good amount of economic theory is covered, including a rudimentary explanation of inflation and interest rates, a brief history of monetary policy in the United States, an analysis of the relationship between long- and short-term interest rates, the importance of credibility and inertia, and a detailed review of...
Show moreThe main contribution of this thesis is the determination of how long it takes for an adjustment in the short-term interest rate to effect inflation. In order to ascertain this, a good amount of economic theory is covered, including a rudimentary explanation of inflation and interest rates, a brief history of monetary policy in the United States, an analysis of the relationship between long- and short-term interest rates, the importance of credibility and inertia, and a detailed review of interest rate policy since 1979. This, in conjunction with empirical analysis, does in fact offer an answer to this question.
Show less - Date Issued
- 1995
- PURL
- http://purl.flvc.org/fcla/dt/15181
- Subject Headings
- Inflation (Finance), Interest rates--United States--Effect of inflation on, Monetary policy--United States, Interest rates--Government policy--United States
- Format
- Document (PDF)
- Title
- International shocks and interdependence: Cointegration results from the major equity markets.
- Creator
- Croce, Robert William., Florida Atlantic University, Yuhn, Ky-hyang, College of Business, Department of Economics
- Abstract/Description
-
This study subjects the world's major stock markets to cointegration tests in an effort to respond to the common investigation that the major equity markets tend to move together with the U.S. market. The relationships between the United States and Canada, France, Germany, Japan, and the United Kingdom will be investigated. Not only will the entire period of 1970-1991.3 be examined, but the pre-1987 crash and the post-1987 crash periods as well. In addition, the Chow test will be employed to...
Show moreThis study subjects the world's major stock markets to cointegration tests in an effort to respond to the common investigation that the major equity markets tend to move together with the U.S. market. The relationships between the United States and Canada, France, Germany, Japan, and the United Kingdom will be investigated. Not only will the entire period of 1970-1991.3 be examined, but the pre-1987 crash and the post-1987 crash periods as well. In addition, the Chow test will be employed to probe for any structural change occurrence relating to the worldwide stock market crash of October 1987. Evidence of cointegration is found to exist vis-a-vis the U.S. with the U.K. and Germany for the entire period; however, since the crash, only the U.K. and Japan have exhibited equilibrium relations. Absolutely no cointegration was detected for Canada nor France with the U.S. market.
Show less - Date Issued
- 1995
- PURL
- http://purl.flvc.org/fcla/dt/15228
- Subject Headings
- Stock exchanges, Stock Market Crash, 1987, International finance, Financial institutions, International
- Format
- Document (PDF)
- Title
- THE IMPACT OF MULTINATIONAL CORPORATE INVESTMENT ON SELECTED LATIN AMERICAN ECONOMIES.
- Creator
- DITTRICH, ELIZABETH DIANN., Florida Atlantic University, Manage, Neela D., College of Business, Department of Economics
- Abstract/Description
-
This thesis analyzes the impact of transnational corporate investment patterns in five Latin American economies: Mexico, Peru, Columbia, Venezuela, and Brazil. Two important theories attributed to the dependencia and neoconventional schools of thought are first described and then econometrically tested for the above countries. The basic framework for econometrically testing these theories consists of a model specifying the domestic and foreign determinants of domestic capital formation....
Show moreThis thesis analyzes the impact of transnational corporate investment patterns in five Latin American economies: Mexico, Peru, Columbia, Venezuela, and Brazil. Two important theories attributed to the dependencia and neoconventional schools of thought are first described and then econometrically tested for the above countries. The basic framework for econometrically testing these theories consists of a model specifying the domestic and foreign determinants of domestic capital formation. Domestic determinants are formulated in terms of the 'accelerator' and loanable-funds theories of domestic investment behavior. Investment by multinational corporations is then added to the model to see if it makes any significant contribution towards indigenous investment. In order to take into account the lagged effects of multinational investment, an Almon lag estimation technique was adopted.
Show less - Date Issued
- 1982
- PURL
- http://purl.flvc.org/fcla/dt/14131
- Subject Headings
- Investments, Foreign--Latin America, Investments, Foreign--Developing countries
- Format
- Document (PDF)
- Title
- INFLATION AND ECONOMIC STIMULUS.
- Creator
- MOONEY, JAY MORTON., Florida Atlantic University, Redman, Milton, College of Business, Department of Economics
- Abstract/Description
-
This thesis examines the relationship between fiscal policy and monetary policy and the rate of inflation for the U.S. using annual data 1955 to 1979. A survey of macroeconomic theory of inflation is presented. The rate of inflation is shown to be dependent upon the rate of monetary and fiscal stimulus in the economy. A long run monetary growth model of the neoclassical type is examined which shows the relationship between inflation and economic stimulus to be very complex. An empirical...
Show moreThis thesis examines the relationship between fiscal policy and monetary policy and the rate of inflation for the U.S. using annual data 1955 to 1979. A survey of macroeconomic theory of inflation is presented. The rate of inflation is shown to be dependent upon the rate of monetary and fiscal stimulus in the economy. A long run monetary growth model of the neoclassical type is examined which shows the relationship between inflation and economic stimulus to be very complex. An empirical examination was done to examine the effects of monetary policy, fiscal policy and productivity on the rate of inflation.
Show less - Date Issued
- 1981
- PURL
- http://purl.flvc.org/fcla/dt/14046
- Subject Headings
- Inflation (Finance)--United States
- Format
- Document (PDF)
- Title
- THE IMPACT OF REVENUE-SHARING ON LOCAL GOVERNMENTS IN FLORIDA.
- Creator
- PLOTECIA, SALLY STRIPLING., Florida Atlantic University, Nicholas, James C., College of Business, Department of Economics
- Abstract/Description
-
Revenue Sharing in Florida is analyzed as to its fiscal impact in Florida municipalities. The State and local tax structures are surveyed and the economics of the property tax is discussed. The objectives delineated by the State and Federal revenue sharing systems are examined to determine the extent to which revenue sharing meets such objectives. The impact of revenue sharing on the revenue and expenditure systems is determined. A sample of twenty-four cities in Florida has been chosen for...
Show moreRevenue Sharing in Florida is analyzed as to its fiscal impact in Florida municipalities. The State and local tax structures are surveyed and the economics of the property tax is discussed. The objectives delineated by the State and Federal revenue sharing systems are examined to determine the extent to which revenue sharing meets such objectives. The impact of revenue sharing on the revenue and expenditure systems is determined. A sample of twenty-four cities in Florida has been chosen for the analysis.
Show less - Date Issued
- 1973
- PURL
- http://purl.flvc.org/fcla/dt/13564
- Subject Headings
- Revenue sharing--Florida, Intergovernmental fiscal relations--Florida, Local finance--Florida
- Format
- Document (PDF)
- Title
- AN INPUT-OUTPUT MODEL OF THE FLORIDA GOLD COAST.
- Creator
- ORESKA, JULIUS FRANK., Florida Atlantic University, Stronge, William B., College of Business, Department of Economics
- Abstract/Description
-
An input-output model was applied to 1972 Florida Gold Coast regional data, by reducing the 1967 National Input-Output table using the simple location quotient technique of Schaffer and Chu. Input-Output theory and several location quotient techniques were presented prior to the actual exposition of the Gold Coast model. Examples of applications of the model to problems of the region, such as the impact of tourism and housing developments were presented, along with results of the model, and a...
Show moreAn input-output model was applied to 1972 Florida Gold Coast regional data, by reducing the 1967 National Input-Output table using the simple location quotient technique of Schaffer and Chu. Input-Output theory and several location quotient techniques were presented prior to the actual exposition of the Gold Coast model. Examples of applications of the model to problems of the region, such as the impact of tourism and housing developments were presented, along with results of the model, and a multiplier analysis of the Gold Coast region.
Show less - Date Issued
- 1976
- PURL
- http://purl.flvc.org/fcla/dt/13792
- Subject Headings
- Input-output analysis, Palm Beach County (Fla)--Economic conditions, Broward County (Fla)--Economic conditions, Metropolitan Dade County (Fla)--Economic conditions, Miami-Dade County (Fla)--Economic conditions
- Format
- Document (PDF)
- Title
- THE INFLUENCE OF THE INSTITUTIONAL SCHOOL OF ECONOMICS ON MANPOWER LEGISLATION.
- Creator
- CRUMLEY, RICHARD EARL., Florida Atlantic University, Nicholas, James C., College of Business, Department of Economics
- Abstract/Description
-
The rise of exploitative Banker Capitalism since the Civil War precipitated the development of a social welfare school of applied economics that is called institutional economics. This thesis reviews the major contributors to the field (Commons, Veblen and Mitchell) and the resulting manpower legislation that went into effect as the result of their efforts.
- Date Issued
- 1975
- PURL
- http://purl.flvc.org/fcla/dt/13728
- Subject Headings
- Institutional economics
- Format
- Document (PDF)
- Title
- INPUT-OUTPUT MODELS OF THE ECONOMIC BASE OF MONROE COUNTY, FLORIDA.
- Creator
- SAVAGE, KIM LENORE., Florida Atlantic University, Stronge, William B., College of Business, Department of Economics
- Abstract/Description
-
A 1979 input-output model was developed for Monroe County regional data, by reducing the 1972 National Input-Output Table using the simple location quotient technique of Shaffer and Chu. A 1979 economic base model was also developed for Monroe County using simple location quotients. Input-output and economic base theory were presented prior to the actual formulation of the regional models. The economic structure of Monroe County, the components of the economic base, and the income multipliers...
Show moreA 1979 input-output model was developed for Monroe County regional data, by reducing the 1972 National Input-Output Table using the simple location quotient technique of Shaffer and Chu. A 1979 economic base model was also developed for Monroe County using simple location quotients. Input-output and economic base theory were presented prior to the actual formulation of the regional models. The economic structure of Monroe County, the components of the economic base, and the income multipliers were presented. An analysis of the economic impact on income in the region by the components of the economic base under alternative models is discussed.
Show less - Date Issued
- 1982
- PURL
- http://purl.flvc.org/fcla/dt/14116
- Subject Headings
- Monroe County (Fla)--Economic conditions
- Format
- Document (PDF)
- Title
- FACTOR ANALYSIS AS A TECHNIQUE FOR ECONOMICS.
- Creator
- ISLEY, PHYLLIS W., Florida Atlantic University, Stronge, William B., College of Business, Department of Economics
- Abstract/Description
-
This thesis focuses on factor analysis as a technique. It thus includes a survey of the various factor mode ls, their theory and mathematical development, a survey of its previous use for empirical studies in economics, and empirical tests of sensitivity of alternative factor techniques. From the results of the sensitivity test it was concluded that different factor techniques yield very similar results and that factor techniques are of value for empirical studies in economics.
- Date Issued
- 1974
- PURL
- http://purl.flvc.org/fcla/dt/13650
- Subject Headings
- Factor analysis, Economics, Mathematical
- Format
- Document (PDF)
- Title
- FACILITATING THE EMERGENCE OF AN EXPORT BASE IN EXISTING COMMUNITIES.
- Creator
- SKULMIS, VILIS H., Florida Atlantic University, Nicholas, James C., College of Business, Department of Economics
- Abstract/Description
-
The development of a theory for facilitating the emergence of an export base in existing communities. Through examination of various challenge response mechanisms that operate on an existing community during the emergence of a new export base, with the inclusion of other factors that influence the recovery from stagnation which preceeds recovery, a theoretical construct is developed to give insight us to how lags between stagnation and recovery can be shortened. An application of the...
Show moreThe development of a theory for facilitating the emergence of an export base in existing communities. Through examination of various challenge response mechanisms that operate on an existing community during the emergence of a new export base, with the inclusion of other factors that influence the recovery from stagnation which preceeds recovery, a theoretical construct is developed to give insight us to how lags between stagnation and recovery can be shortened. An application of the development is included at the end of each chapter to the City of Miami Beach, Florida.
Show less - Date Issued
- 1976
- PURL
- http://purl.flvc.org/fcla/dt/13793
- Subject Headings
- Urban economics, Miami Beach (Fla)--Economic conditions
- Format
- Document (PDF)
- Title
- FDI in the Third World: The impact on growth and human development.
- Creator
- Krappen, Ute., Florida Atlantic University, Scott, Gerald E., College of Business, Department of Economics
- Abstract/Description
-
This thesis theoretically and empirically analyzes the effects of Foreign Direct Investment on Third World countries. The competing theories of the impact of FDI on developing countries are examined. The contradictory results of former econometric tests and empirical surveys measuring the impact of FDI on growth are compared and contrasted. A human development accounting model is employed as a new approach to study the effects of FDI on social indicators. Finally the resulting policy...
Show moreThis thesis theoretically and empirically analyzes the effects of Foreign Direct Investment on Third World countries. The competing theories of the impact of FDI on developing countries are examined. The contradictory results of former econometric tests and empirical surveys measuring the impact of FDI on growth are compared and contrasted. A human development accounting model is employed as a new approach to study the effects of FDI on social indicators. Finally the resulting policy implications are discussed.
Show less - Date Issued
- 1992
- PURL
- http://purl.flvc.org/fcla/dt/14867
- Subject Headings
- Developing countries--Economic conditions, Capital movements--Developing countries, Investments, Foreign, Developing countries--Social conditions
- Format
- Document (PDF)
- Title
- Health care expenditures in the United States and five industrialized economies: A pooled time-series cross-section model.
- Creator
- Shah, Sandhya K., Florida Atlantic University, Manage, Neela D., College of Business, Department of Economics
- Abstract/Description
-
This thesis empirically analyzes the determinants of national health care expenditures in the United States and five other industrialized economies. A reduced-form model for national health care expenditures, based upon a partial-adjustment mechanism, is specified as a function of supply and demand factors in interrelated markets in the medical sector and estimated for the United States for the period 1960 to 1990. A pooled model is also estimated for a cross-section of six industrialized...
Show moreThis thesis empirically analyzes the determinants of national health care expenditures in the United States and five other industrialized economies. A reduced-form model for national health care expenditures, based upon a partial-adjustment mechanism, is specified as a function of supply and demand factors in interrelated markets in the medical sector and estimated for the United States for the period 1960 to 1990. A pooled model is also estimated for a cross-section of six industrialized economies based upon time series data from 1976 to 1990 for each country. The results suggest that income, technological change, and inflation have a significant impact on national health care expenditures.
Show less - Date Issued
- 1994
- PURL
- http://purl.flvc.org/fcla/dt/15109
- Subject Headings
- Medical care, Cost of, Medical care--Cost control, Medical economics
- Format
- Document (PDF)
- Title
- LOCATION ANALYSIS AND ITS APPLICATION.
- Creator
- CAGATAY, TANER., Florida Atlantic University, Hung, Chao-shun, College of Business, Department of Economics
- Abstract/Description
-
This thesis discusses the locational theories and their implications and applications on the Turkish Consulate. Chapters I and II analyzes the theories of Von Thunen, Jsard, and Hoover. Chapter III discuses Weber's theories and an application on the Turkish Consulate. Chapter IV summarizes the conclusions.
- Date Issued
- 1985
- PURL
- http://purl.flvc.org/fcla/dt/14261
- Subject Headings
- Economics--Mathematical models, Turkey--Economic conditions
- Format
- Document (PDF)
- Title
- A LINEAR PROGRAMMING ANALYSIS OF A MANUFACTURING FIRM IN A LESS DEVELOPEDCOUNTRY.
- Creator
- GOMPF, JUAN FELIPE., Florida Atlantic University, Stronge, William B., College of Business, Department of Economics
- Abstract/Description
-
The firm studied engages in the manufacture of metal products; the country is Colombia. The most striking characteristics discussed in Chapter one are the following: (a) the chronic shortage of capital in all its forms; (b) the shortage of skilled labor; (c) the small size and low sophistication of most markets. Linear Programming is an efficient scientific management tool, based on sound economic theory. Chapter two is devoted to the exploration of the theoretical background of Linear...
Show moreThe firm studied engages in the manufacture of metal products; the country is Colombia. The most striking characteristics discussed in Chapter one are the following: (a) the chronic shortage of capital in all its forms; (b) the shortage of skilled labor; (c) the small size and low sophistication of most markets. Linear Programming is an efficient scientific management tool, based on sound economic theory. Chapter two is devoted to the exploration of the theoretical background of Linear Programming. Linear Programming is shown to be very useful in analyzing a firm as a system, considering a multitude of elements simultaneously. The model studied in Chapter three yields a wealth of information about adjustments to improve future performance despite being fundamentally a static model. It also provides an extremely useful tool to study the firm's adaptive behavior to environmental changes thus focusing on underdevelopment at the individual firm's level.
Show less - Date Issued
- 1976
- PURL
- http://purl.flvc.org/fcla/dt/13770
- Subject Headings
- Linear programming
- Format
- Document (PDF)
- Title
- Essential of Cournot oligopoly model.
- Creator
- Mahzabeen, Ishrat., Florida Atlantic University, Hung, Chao-shun, College of Business, Department of Economics
- Abstract/Description
-
This thesis examines as well as compares four essential issues of the Cournot oligopoly model--existence, uniqueness, and stability of the equilibrium solution, and the competitive property of the model. A Cournot equilibrium solution exists for the market when the marginal revenue of each firm declines due to an output expansion by all other firms. The existing Cournot solution is unique when a non-zero Jacobian determinant of the marginal profit functions exist. The equilibrium solution is...
Show moreThis thesis examines as well as compares four essential issues of the Cournot oligopoly model--existence, uniqueness, and stability of the equilibrium solution, and the competitive property of the model. A Cournot equilibrium solution exists for the market when the marginal revenue of each firm declines due to an output expansion by all other firms. The existing Cournot solution is unique when a non-zero Jacobian determinant of the marginal profit functions exist. The equilibrium solution is stable when two conditions are simultaneously satisfied: (i) each firm's marginal cost does not fall faster than the market demand curve, and (ii) on the aggregate the marginal profit of the firms decreases as all the firms expand their outputs. The existence, uniqueness, and stability are necessary properties for the Cournot equilibrium solution to become quasi-competitive. However, the Cournot solution will converge towards the competitive solution only in absence of economies of scale. These results have an important policy implication that, allowing entry into an oligopolistic market will improve the market performance.
Show less - Date Issued
- 1993
- PURL
- http://purl.flvc.org/fcla/dt/14979
- Subject Headings
- Cournot, A A--(Antoine Augustin),--1801-1877--Researches into the mathematical principles of the theory of wealth, Economics--Mathematical models, Oligopolies
- Format
- Document (PDF)
- Title
- AN AREA OF CRITICAL ENVIRONMENTAL CONCERN: THE CASE OF THE FLORIDA KEYS.
- Creator
- CRAWFORD, CAROL COOPER., Florida Atlantic University, Nicholas, James C., College of Business, Department of Economics
- Abstract/Description
-
This thesis includes an overview of modern land use regulation from the Euclid decision in 1926 to the American Law Institute's Model Land Development Code. The main emphasis of this thesis is the Code's "districts of critical state concern". Florida, in enacting the Environmental Land and Water Management Act in 1972, used the ALI Code as a model for its "areas of critical state concern". The Florida Keys are studied in this thesis in regards to this type of designation in order to research...
Show moreThis thesis includes an overview of modern land use regulation from the Euclid decision in 1926 to the American Law Institute's Model Land Development Code. The main emphasis of this thesis is the Code's "districts of critical state concern". Florida, in enacting the Environmental Land and Water Management Act in 1972, used the ALI Code as a model for its "areas of critical state concern". The Florida Keys are studied in this thesis in regards to this type of designation in order to research the intergovernmental aspects and problems of this legislation. A survey of the people of the Keys and interviews with their elected officials during the first few months following their designation as one of critical state concern uncovered some of the inherent difficulties involved when the state imposes its guidelines on a local municipality within the ALI context.
Show less - Date Issued
- 1975
- PURL
- http://purl.flvc.org/fcla/dt/13750
- Subject Headings
- Land use--Law and legislation--Florida--Florida Keys, Florida Keys (Fla)
- Format
- Document (PDF)
- Title
- AUTOMATIC STABILIZERS DURING STAGFLATION.
- Creator
- MCINTIRE, RICHARD MICHAEL., Florida Atlantic University, Redman, Milton, College of Business, Department of Economics
- Abstract/Description
-
This thesis explored the impact of inflation upon fiscal automatic stabilizers during the 1973-75 recession. Our study confined itself to the three main devices purported to stabilize the U.S. economy automatically: (1) federal personal income tax liability, (2) corporate profits tax liability, and (3) unemployment compensation benefits. A recursive model, similar to that used by Dusenberry, Eckstein, and Fromm to study fiscal automatic stabilizers in the 1957-58 recession, was constructed....
Show moreThis thesis explored the impact of inflation upon fiscal automatic stabilizers during the 1973-75 recession. Our study confined itself to the three main devices purported to stabilize the U.S. economy automatically: (1) federal personal income tax liability, (2) corporate profits tax liability, and (3) unemployment compensation benefits. A recursive model, similar to that used by Dusenberry, Eckstein, and Fromm to study fiscal automatic stabilizers in the 1957-58 recession, was constructed. Our simulation results led us to conclude that there was a substantial reduction in output and employment due to the impact of inflation upon federal personal income tax liability in the 1973-75 recession. We reached a tentative conclusion that the effects of inflation upon output and employment via corporate profits tax liability were negligible. Finally, we concluded that the effects of inflation upon output and employment via unemployment compensation benefits paid were negligible in the recent stagflation.
Show less - Date Issued
- 1978
- PURL
- http://purl.flvc.org/fcla/dt/13919
- Subject Headings
- Economics, Mathematical, United States--Economic conditions--Mathematical models
- Format
- Document (PDF)
- Title
- THE EFFECT OF WAR ON U.S. ECONOMIC GROWTH: COMPARING THE KOREAN WAR, VIETNAM WAR AND WARS IN MIDDLE EAST.
- Creator
- Lee, Chaewoong, Yuhn, Ky-Hyang, Florida Atlantic University, Department of Economics, College of Business
- Abstract/Description
-
Analyzing the effect of military expenditure on economic growth has been an essential task for U.S economists. This thesis analyzed macroeconomic components for the last 70 years by estimating the ordinary least squares (OLS) regression model and vector autoregressive model. To interpret the empirical analysis, historical analysis of the Korean War, the Vietnam War, and the Wars in the Middle East, was made. One found the negative effect of military spending during wartime on the economic...
Show moreAnalyzing the effect of military expenditure on economic growth has been an essential task for U.S economists. This thesis analyzed macroeconomic components for the last 70 years by estimating the ordinary least squares (OLS) regression model and vector autoregressive model. To interpret the empirical analysis, historical analysis of the Korean War, the Vietnam War, and the Wars in the Middle East, was made. One found the negative effect of military spending during wartime on the economic growth of the United States. This thesis suggests that the policymakers and military commanders should focus on shortening the state of war to minimize economic damage to the United States.
Show less - Date Issued
- 2020
- PURL
- http://purl.flvc.org/fau/fd/FA00013506
- Subject Headings
- Economic development--United States, Korean War, 1950-1953, Vietnam War, 1961-1975, War--Middle East, Military spending, Macroeconomics
- Format
- Document (PDF)
- Title
- DENTAL PRODUCTIVITY POTENTIAL IN FLORIDA.
- Creator
- EFSTATHIOU, PANOS E., Florida Atlantic University, Scheidell, John M., College of Business, Department of Economics
- Abstract/Description
-
This thesis contains an investigation of the potential for increasing dental productivity in Florida. This investigation of the Florida dental care industry is conducted from a micro-economic-theoretical perspective. It is performed under a methodological framework that incorporates the estimation of a dental production function for Florida using data on general practices from the ADA 1977 Survey of Dental Practice and employing the transcendental logarithmic production function. As a...
Show moreThis thesis contains an investigation of the potential for increasing dental productivity in Florida. This investigation of the Florida dental care industry is conducted from a micro-economic-theoretical perspective. It is performed under a methodological framework that incorporates the estimation of a dental production function for Florida using data on general practices from the ADA 1977 Survey of Dental Practice and employing the transcendental logarithmic production function. As a complement to this estimation a survey of the relevant literature and an examination of the general characteristics of Florida dental practices are presented. The general implication is that the productivity of Florida practices could be increased and associated delivery costs could be reduced by expanding the market for dental services, adding more staff, and increasing the number of dentists per practice, as well as by a more efficient use of dental personnel including auxiliaries with expanded functions.
Show less - Date Issued
- 1982
- PURL
- http://purl.flvc.org/fcla/dt/14107
- Subject Headings
- Dental economics--Florida
- Format
- Document (PDF)
- Title
- The role of the term structure of interest rates in bank-failure-prediction models.
- Creator
- Head, Anne M., Florida Atlantic University, Manage, Neela D., College of Business, Department of Economics
- Abstract/Description
-
Aspects of the relationship between the term structure of interest rates and bank failure from 1984 to 1989 are explored in the context of a bank-failure-prediction model. For this, the logit technique is employed. Interest rate variables used to characterize the term structure include Treasury, Federal-funds, and bank-certificate-of-deposit rates. The term structure proves a significant factor in determining the probability of bank failure. Changes in long-term rates relative to short-term...
Show moreAspects of the relationship between the term structure of interest rates and bank failure from 1984 to 1989 are explored in the context of a bank-failure-prediction model. For this, the logit technique is employed. Interest rate variables used to characterize the term structure include Treasury, Federal-funds, and bank-certificate-of-deposit rates. The term structure proves a significant factor in determining the probability of bank failure. Changes in long-term rates relative to short-term rates can profoundly affect bank performance. These findings corroborate any measures being taken by banks or regulators to minimize banks' interest rate risk exposure.
Show less - Date Issued
- 1991
- PURL
- http://purl.flvc.org/fcla/dt/14725
- Subject Headings
- Bank failures--United States, Interest rates--United States
- Format
- Document (PDF)