The Effects of Anticipated and Unanticipated Federal Funds Target Rate Changes on Domestic Interest Rates: International Evidence
The Effects of Anticipated and Unanticipated Federal Funds Target Rate Changes on Domestic Interest Rates: International Evidence
Author(s): Nildag Basak Ceylan, Hakan BerumentSubject(s): Economy
Published by: S.E.I.F at Paris
Keywords: Interest rates; International transmission mechanism; Fed Funds target rates; and Monetary policy.
Summary/Abstract: This paper assesses the effects of anticipated and unanticipated United States Federal Funds target rate changes on the domestic interest rates of a set of countries for the period from June 1989 to August 2008. The empirical evidence provided here suggests that i. unanticipated changes have a greater effect than anticipated changes; and ii. evidence from developed markets is stronger than that from developing/emerging markets.
Journal: International Review of Applied Financial Issues and Economics
- Issue Year: 2010
- Issue No: 2
- Page Range: 328-340
- Page Count: 13
- Language: English
