Perspectives on low global interest rates / prepared by Luis, Catão and George A. (Sandy) Mackenzie.

This paper looks at the dramatic decline in global real interest rates in recent years from a historical perspective and examines the various factors that may account for this trend. We show that current levels of real interest rates on long-term bonds in advanced economies are not low by historical...

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Bibliographic Details
Main Authors: Catão, Luis (Author), MacKenzie, George A. (Author)
Corporate Author: International Monetary Fund. Research Department
Format: eBook
Language:English
Published: [Washington, D.C.] : International Monetary Fund, Research Dept., ©2006.
Series:IMF working paper ; WP/06/76.
Subjects:
Online Access:Click for online access

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245 1 0 |a Perspectives on low global interest rates /  |c prepared by Luis, Catão and George A. (Sandy) Mackenzie. 
260 |a [Washington, D.C.] :  |b International Monetary Fund, Research Dept.,  |c ©2006. 
300 |a 1 online resource (29 pages) 
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490 1 |a IMF working paper ;  |v WP/06/76 
588 0 |a Print version record. 
520 |a This paper looks at the dramatic decline in global real interest rates in recent years from a historical perspective and examines the various factors that may account for this trend. We show that current levels of real interest rates on long-term bonds in advanced economies are not low by historical standards and that it is the real long bond rates of the early 1980s through much of the 1990s that look anomalous. We also find that current global long-term interest rates are roughly in line with what one would predict given current price-earnings (P/E) ratios and under reasonable assumptions about the equity risk premia and the expected rate of growth of earnings in advanced countries. Finally, we provide econometric evidence that global long-term interest rates are significantly affected by commodity prices, expected productivity growth, and fiscal consolidation in advanced countries. 
504 |a Includes bibliographical references (pages 28-29). 
506 |3 Use copy  |f Restrictions unspecified  |2 star  |5 MiAaHDL 
533 |a Electronic reproduction.  |b [Place of publication not identified] :  |c HathiTrust Digital Library,  |d 2010.  |5 MiAaHDL 
538 |a Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002.  |u http://purl.oclc.org/DLF/benchrepro0212  |5 MiAaHDL 
583 1 |a digitized  |c 2010  |h HathiTrust Digital Library  |l committed to preserve  |2 pda  |5 MiAaHDL 
505 0 |a ""Contents""; ""I. INTRODUCTION""; ""II. SOME HISTORICAL PERSPECTIVE""; ""III. SIMPLE ANALYTICS OF GLOBAL INTEREST RATE DETERMINATION ""; ""IV. AN ASSET-PRICING PERSPECTIVE""; ""V. ECONOMETRIC EVIDENCE""; ""VI. CONCLUSIONS""; ""APPENDIX I. THEORETICAL FRAMEWORK""; ""REFERENCES"" 
650 0 |a Interest rates  |x Econometric models. 
650 0 |a Saving and investment  |x Econometric models. 
650 7 |a Interest rates  |x Econometric models  |2 fast 
650 7 |a Saving and investment  |x Econometric models  |2 fast 
700 1 |a MacKenzie, George A.,  |e author. 
710 2 |a International Monetary Fund.  |b Research Department. 
776 0 8 |i Print version:  |a Catão, Luis.  |t Perspectives on low global interest rates.  |d [Washington, D.C.] : International Monetary Fund, Research Dept., ©2006  |w (OCoLC)69664597 
830 0 |a IMF working paper ;  |v WP/06/76. 
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