1982

8204

Fisher to Fama to Fisher: Inflation and Interest Rates, 1890–1981
Scott Ulman

8203

On the Selective Hedging of Bank Assets with Treasury Bill Futures Contracts
G. O. Koppenhaver

8202

A Note on Environmental Risk and the Rate of Discount
S. P. A. Brown
Published as: Brown, S.P.A. (1983), "A Note on Environmental Risk and the Rate of Discount," Journal of Environmental Economics and Management 10 (3): 282-286.
Abstract: This paper examines the use of risk-adjusted discount rates to evaluate future environmental risks. It is determined that the risk-adjusted discount rate should be lower—not higher—than the risk-free rate if evaluation of future environmental risks is to point toward optimality.

8201

Money Stock Control with Reserve and Interest Rate Instruments Under Rational Expectations
Bennett T. McCallum and James G. Hoehn
Published as: McCallum, Benett T. and James G. Hoehn (1983), "Instrument Choice for Money Stock Control with Contemporaneous and Lagged Reserve Requirements," Journal of Money Credit and Banking 15 (1): 96-101.
Abstract: This paper conducts a theoretical comparison of the potential effectiveness, in terms of money stock controllability, of interest rate and reserve instruments. Whereas previous studies have been basically static, the present analysis is carried out in the context of a dynamic macroeconomic model with rational expectations. Particular attention is paid to the distinction between contemporaneous and lagged reserve accounting (CRA and LRA). The criterion employed is the expectation of squared deviations of the (log of the) money stock from target values that are reset each period. Analysis in the basic model suggests the following substantive conclusions. (1) With a reserve instrument, monetary control will be more effective under CRA than LRA. (2) With a reserve instrument and LRA, control will be poorer than with an interest rate instrument. (3) For a wide range of parameter values, control will be better with a reserve instrument and CRA than with an interest rate instrument.