Monetary Condition Research Articles

THE CONCEPT AND TYPES OF RELATIONS (LEGAL RELATIONS) IN THE SPHERE OF PRIVATE FINANCE

Most financial and legal scientists study financial relations in general, but mean public relations by them, which is typical of the classical (Soviet) theory of finance. Few authors address the relationship in the sphere of private finance. The author reveals the concept of these relations and gives a description of their types. In his opinion, relations in the sphere of private finance are social links that arise from having financial property, carrying out private financial activities, provision of financial services and their state regulation. In legal form, they are determined by the legal properties of their subjects – legal capacity, rights, duties, and prohibitions that form the content of these legal relations, and are aimed at the future monetary condition of the same subjects. The author distinguishes the types of these legal relations from their definition, and characterizes the legal relations arising from: 1) having financial assets, 2) carrying out private financial activities, 3) the provision of financial services, 4) the state regulation of private finance.

A NOTION OF FINANCE: AN ECONOMIC CONCEPT

The article shows that the Belarusian financial science is evolving on the basis of the classical (Soviet) theory. However,
 the neoclassical field is already forming in it. Developing the latter, the author proposes an economic concept of
 finance. The dialectical method is used in the exposition of its main provisions. On the way to the essence of finance the
 author relies on three terms: economy, money, process. In the process of cognition, he comes to the idea of the monetary
 condition of an economic agent, and defines it as value and (or) parameters derived therefrom of the property of this agent
 at a certain point of time. Changing this condition, according to the author, is the essence of finance. As a result, the author
 concludes that finance is economic flows that reflect the change in the monetary condition of an economic agent.

The Flow of Vacancies and Unemployment

The U.S. unprecedented tight labor market has been driving inflation pressure since the break of the pandemic. Currently, dropping vacancies is cooling off the labor market. This study analyzes the flow of vacancies and unemployment within the Beveridge relationship during such a period. The Cobb-Douglas matching function is adopted to analyze labor market dynamics. The epilogue of the regressive model finds a proper estimation of the matching function, which the study uses to show that the matching efficiency has worsened since 2022. The study concludes that cooling off the labor market with barely an increase in unemployment is unattainable under the super tight monetary condition.

Monetary Condition Index: Empirical Evidence from Pakistan

The study focuses on assessing the Monetary Condition Index (MCI) in Pakistan, which measures the tightness or easiness of the country's monetary policy. It analyzes the impacts of interest rates and exchange rates on inflation and GDP growth, using time series data from 1975 to 2020. Monetary Condition Index is calculated by using time series data, employing annual data set from 1975 to 2020. Two different methods are applied to find the weights of interest rate and exchange rate, the one is the Principal Component Analysis and the other is co-integration method employing the Autoregressive Distributed Lag model. The research aims to provide valuable insights for policymakers, planners, and economists to optimize monetary policies and understand the transmission mechanism in the economy. The study also explores the historical impacts of interest rates and exchange rates, with potential implications for other economies. The Monetary Condition Index is introduced as a useful policy locator and an indicator of the monetary policy stance. Additionally, the research seeks to validate the MCI's reliability as a policy indicator and address certain research gaps related to its effectiveness, dynamics, and generalizability. The study concluded that the MCI is sensitive to variations, and its calculation and methodology are essential. The monetary stance in Pakistan remained tight from 2017 to 2020, representing the highest trend in history. However, the effectiveness of using interest rate tools to control inflation in Pakistan was questioned, suggesting that changes in monetary policy tools might be necessary to achieve the objectives of the State Bank of Pakistan in line with Islamic economics principles.

Do monetary condition news at the zero lower bound influence households’ expectations and readiness to spend?

We investigate how households update their interest rate and inflation expectations upon hearing monetary condition news, and to what extent this changes their readiness to spend. Using data from the Michigan Survey of Consumers from December 2008 to December 2015, we find (1) the likelihood of higher expected interest rates significantly increases upon hearing news of tighter monetary condition; (2) monetary condition news is irrelevant for both short- and medium-run inflation expectations; (3) the main information content of this perceived news is most likely from forward guidance and professional forecasts; and (4) households update their readiness to spend on houses, cars and durable goods upon perceiving monetary condition news. Our evidence points towards interest rate expectations as the most likely mediator through which monetary condition news drives households’ readiness to spend.

Measuring Monetary Policy in Emerging Economy: The Role of Monetary Condition Index

Measuring Monetary Policy in Emerging Economy: The Role of Monetary Condition Index

Shadow banking business and firm risk-taking: Evidence from China

This paper uses annual firm-level data from China, spanning 2003–2019, to explore the impact of the shadow banking business of non-financial firms on their risk-taking. The results show that the shadow banking business significantly increases firm risk-taking. Furthermore, the impact of firms’ shadow banking business on their risk-taking is particularly pronounced in firms with greater financing constraints, and poorer corporate governance and in times of loose monetary condition and severe financial stress. Moreover, increasing commercial credit, reducing main business performance, and eroding the quality of information disclosure are channels through which shadow banking affects firms’ risk-taking. Our findings suggest that improving external supervision and internal governance are vital for alleviating firms’ short-sighted involvement in shadow banking and the ensuing financial risks.

Emotional Dysregulation and Altered Reward Processing in Self-Harm

AimsSelf-Harm (SH) is defined as “any act of self-injury or poisoning carried out by a person irrespective of their motivation”. SH increases the risk of adverse outcomes including suicide attempts, necessitating early intervention. The most widely reported reason for SH is to relieve negative affect (NA), with NA precipitating SH engagement. SH participants show altered reward processing, particularly reward hypersensitivity. NA could trigger reward hypersensitivity and therefore SH engagement. However, the interaction between NA and reward processing in SH remains unclear.Aim: To investigate whether those who SH show differences in processing SH stimuli compared to healthy controls (HCs) following NA induction.Hypothesis: NA induction will result in SH participants having significantly shorter reaction latency (RL) and significantly greater reaction accuracy (RA) in the SH condition of the Incentive Delay task (IDT) than HCs.Methods16–25-year-old SH (n = 35) and HC (n = 20) participants were recruited on social media. Participants completed the Trier Social Stress Test, to induce NA, followed by the IDT. In the latter, participants were cued to respond to a target as quickly as possible, and on responding were shown images of either a SH act (SH condition), people socializing (social condition) or money (monetary condition), where each condition had control trials where a neutral image was shown, which participants also had to respond to (SH neutral, social neutral and monetary neutral conditions respectively). RA was the percentage of IDT trials in which participants responded within the target's presentation time. RL in the IDT was the time (seconds) between the target appearance and the participant's response.ResultsA linear mixed effects model showed no significant main effect of group on RL (SH vs HC), condition (Social, SH or Monetary) or group x condition interaction (p > 0.05). There was a significant main effect of condition on RA (p < 0.05) but not group or group x condition interaction (p > 0.05). Past-week SH frequency and RA were significantly and positively correlated in social, social neutral and monetary conditions (p < 0.05).ConclusionOverall, there was a non-significant effect of NA on reward processing. However, as greater past-week SH frequency was significantly associated with greater RA, understanding how reward processing and NA interact in SH can provide greater insight into its triggers. Given this study's limited sample size and cross-sectional nature, future studies should investigate how NA and reward processing interact longitudinally and in larger samples to understand how SH can be reduced.

Emotional Dysregulation and Altered Reward Processing in Self-Harm

IntroductionSelf-Harm (SH) is any act of self-injury carried out by somebody irrespective of motivation. SH most commonly functions to relieve negative affect (NA). Tentative evidence suggests reward processing is altered in SH. NA may trigger reward hypersensitivity and therefore SH. Whether NA influences reward processing in SH remains unclear.ObjectivesTo investigate whether self-harmers differ in motivation to obtain SH stimuli than healthy controls (HCs) following NA induction.HypothesisAfter NA induction, SH participants will have a significantly shorter reaction latency (RL) and greater reaction accuracy (RA) than HCs in the SH condition of the Incentive Delay (ID) task.Methods16-25-year-old SH (n=35) and HC (n=20) participants were recruited online and underwent the Trier Social Stress Test, to induce NA, followed by the ID task, where participants were cued to respond to a target as quickly as possible. On responding, an image of either a SH act (SH Condition), people socializing (Social Condition) or money (Monetary Condition) appeared. Each condition included control trials showing a neutral image. RA was the percentage of trials responded to within the target’s presentation time. RL was the time (seconds) between target appearance and participants’ response.ResultsThere was no significant main effect of group, condition or group x condition interaction for RL. There was a significant main effect of condition (p < 0.05) but not of group nor a group x condition interaction for RA.ConclusionsReward processing did not differ in the SH group compared to HCs post-NA induction. Future studies could investigate reward processing in longitudinal and larger SH samples.DisclosureNo significant relationships.

Effects of Monetary Policy Shocks on Domestic and Foreign Banks Lending in Tanzania

This study investigated the effect of monetary policy shocks on bank loans extended by domestic and foreign banks in Tanzania over the period from 2006 to 2020. It adopted the impulse response functions and the variance decomposition analysis to study the responses of these types of lending to monetary policy shocks. The studyfound out that foreign banks do not react negatively to a monetary policy shock, supporting the view that foreign banks in Tanzania did not abandon the domestic market in times of economic distress. The policy implication was that the foreign banks in Tanzania had been supportive of the domestic economy even in times of economic distress. Empirical evidence provided by this study supported the positive role played by the foreign banks in contributing to the financial and economic stability of the Tanzanian economy. The theoretical contribution of the study is that despite a tight monetary condition, the foreign banks continued to resume lending, implying that the “capital flight” argument did not apply to the foreign banks' operations in Tanzania.

Monetary policy decisions and bank profitability: evidence from an emerging economy

PurposeThis study provides empirical evidence for the first time on how different measures of monetary policy affect banking profitability in Ghana.Design/methodology/approachProviding empirical evidence on how different measures of monetary policy affect banking profitability in Ghana using 29 banks for period between 2006 and 2016, new monetary indexes are developed and a robust panel random effect models is employed with year effect controls.FindingsThe results show that while increase in monetary policy basis point reduced banking profitability, average monetary policy rate stimulated banking profitability. Interestingly, the monetary policy basis point and rate indexes developed reduced and enhanced banking profitability, respectively. While these results may sound contradictory, they have both theoretical and empirical backing. Thus, basis point increments serve a monetary policy tightening condition which leads to higher loan prices, lower borrowing and declined profitability in the short run. However, in the long run, banks adjusted their loan prices and deposits to reflect basis point changes in their favor, hence the positive effect of average monetary policy rate on banking profitability. Additionally, monetary policy easing which represents decline in monetary policy basis point and rate enhances banking profitability.Practical implicationsThese findings imply bank managers may take advantage of monetary policy easing to maximize profits in the banking sector of Ghana. Also, the monetary policy committee must be mindful of monetary policy tightening through basis point change since upward basis point increments reduce banking profitability.Originality/valueThis study provides empirical evidence for the first time on how different measures of monetary policy (developing indexes from monetary policy basis point and monetary policy rate) affect banking profitability in an emerging economy as Ghana.

Is loss avoidance differentially rewarding in adolescents versus adults? Differences in ventral striatum and anterior insula activation during the anticipation of potential monetary losses

ABSTRACT Avoiding loss is a crucial, adaptive guide to human behavior. While previous developmental research has primarily focused on gaining rewards, less attention has been paid to loss processing and its avoidance. In daily life, it is often unknown how likely an action will result in a loss, making the role of uncertainty in loss processing particularly important. By using functional magnetic resonance imaging, we investigated the influence of varying outcome probabilities (12%, 34%, and 67%) on brain regions implicated in loss processing (ventral striatum (VS), anterior insula (AI)) by comparing 28 adolescents (10–18 years) and 24 adults (22–32 years) during the anticipation of potential monetary loss. Overall, results revealed slower RTs in adolescents compared to adults with both groups being faster in the experimental (monetary condition) vs. control trials (verbal condition). Fastest RTs were observed for the 67% outcome probability in both age groups. An age group × outcome probability interaction effect revealed the greatest differences between the groups for the 12% vs. the 67% outcome probability. Neurally, both age groups demonstrated a higher percent signal change in the VS and AI during the anticipation of potential monetary loss versus the verbal condition. However, adults demonstrated an even greater activation of VS and AI than adolescents during the anticipation of potential monetary loss, but not during the verbal condition. This may indicate that adolescents differ from adults regarding their experience of avoiding losing monetary rewards.

ANALYSIS OF BUSINESS ACTIVITY OF «KERUEN SERVICE ASTANA» LLP

The financial condition of an enterprise denotes an economic category that reflects the monetary condition of its property in the process of circulation and the ability of the enterprise to repay its debts, as well as develop over a certain period. It follows from this that the financial condition of the enterprise involves the placement and use of assets and liabilities. For the efficient operation of an enterprise, the stability of its financial condition is important. It depends on the rat io of own and debt obligations and on the most appropriate structure of the assets of the enterprise, as well as on the ratio of fixed and circulating assets and the balance of assets and liabilities.

Cashless gambling and the pain of paying: effects of monetary format on slot machine gambling

Advances in cashless technologies create a dilemma for gambling regulators. Research indicates that cash purchases entail a ‘pain of paying’ that is attenuated with more abstract forms of payment, yet limited research has directly tested the impact of mode of payment on gambling behavior. Across two experiments, community-recruited gamblers were randomized to use an authentic slot machine in the laboratory, under different conditions of monetary endowment. In Experiment 1 (n = 61), participants were endowed with funds to play the slot machine, in either a cash or voucher format. In Experiment 2 (n = 48), participants acquired the cash endowment as a windfall or from an earning task. In session-level analyses, bet size and bet volume did not vary as a function of monetary condition. In more sensitive trial-level analyses, no interactions involving the monetary manipulations were consistent across the two experiments. Data from both experiments indicated faster spin initiation latencies as a function of losing streak length, and slower spin initiation latencies and larger bet size as a function of the prior win magnitude. These trial-level analyses show systematic influences on gambling behavior in the laboratory environment, supporting the basic sensitivity of our design. Overall, our data provide weak evidence for the hypothesis that monetary factors influence gambling tendencies. Acknowledging the possibility of the null hypothesis, these data also highlight the methodological challenges with manipulating monetary value in gambling research, including the use of endowed funds, and controlling for sources of variability when using authentic slot machines.

Differences in Reward Sensitivity between High and Low Problematic Smartphone Use Adolescents: An ERP Study.

Background: Problematic smartphone use is highly prevalent in adolescent populations compared to other age groups (e.g., adults and young children). Previous studies suggested that higher levels of reward sensitivity were associated with problematic smartphone use. Therefore, the current study investigated the neural processing of monetary and social reward and punishment feedbacks between high and low problematic smartphone use adolescents. Methods: 46 adolescents participated in the current study and they were categorized into two groups based on their level of problematic smartphone use: those who obtained low scores on the measure of problematic smartphone use were categorized as Low Problematic Smartphone Use (LPSU), and those who obtained high scores on the measure of problematic smartphone use were categorized as High Problematic Smartphone Use (HPSU). Electrocortical activities were recorded during the processing of monetary and social reward and punishment feedback. Results: (1) LPSUs evoked larger P3 in the social punishment condition than in the monetary punishment condition. HPSUs evoked larger P3 in the social reward condition than in the monetary condition. (2) The feedback-related negativity (FRN) amplitudes in the reward condition were significantly larger than those in the punishment condition. (3) HPSUs induced larger reward positivity in social feedback conditions than in monetary feedback conditions, while there were no significant differences between the two types of conditions in the LPSUs. Discussion: The results provide neural underpinning evidence that high sensitivity to social rewards may be related to problematic smartphone use in adolescence.

IOT BASED SMART CASH CROP CULTIVATION USING RASPBERRY PI

The cash crops refer to items that return far more to farmers than the normal harvests and demands. While, such crops are not often easy to grow in India due to the country's climate obstacles and these plants meticulous attention is needed to provide the finest returns else easy to suffer from pests and illnesses. So ,a minimal expense nursery model which can be managed by the Indian ranchers for the development of money yields like saffron, vanilla, peppers, and so on and they can do the development under this mechanized nursery hence improving their social and monetary condition by an incredible degree. The proposed system had both farm monitoring and automated irrigation control along with the alert message feedback to the user. All the sensors data collected is farm monitoring and the equivalent control constitutes automated irrigation control. This makes the farmer to monitor the green house continuously and necessary actions are taken according to the sensor reading and thus the returns will increase.

KEMAJUAN TEKNOLOGI DAN KECEPATAN PERPUTARAN UANG: STUDI KASUS INDONESIA

Technological developments and financial innovations, especially in the payment system, have encouraged banks around the world to carry out a number of innovations that have resulted in a new paperless based financial system. The finding that the payment system innovation affects the circulation of money and the stability of the monetary condition of a country, makes this risk possible in Indonesia. By using the error correction model, this study can provide information on the short run dynamic relationship and the impact of payment system innovation represented by non cash payment instruments such as credit cards, debit cards, e-money and payment transaction settlement processes (national clearing system and real time gross settlement) on the velocity of money in Indonesia in the period 2016M1 to 2020M6. The results of the research findings state that the impact generated by the rapid velocity of payment system innovation on the velocity of money circulation is not temporary, this is evidenced by the effect of payment system innovation on the velocity of money circulation which continues over a long period of time.

Kemajuan Teknologi dan Kecepatan Perputaran Uang: Studi Kasus Indonesia

Technological developments and financial innovations, especially in the payment system, have encouraged banks around the world to carry out a number of innovations that have resulted in a new paperless based financial system. The finding that the payment system innovation affects the circulation of money and the stability of the monetary condition of a country, makes this risk possible in Indonesia. By using the error correction model, this study can provide information on the short run dynamic relationship and the impact of payment system innovation represented by non cash payment instruments such as credit cards, debit cards, e-money and payment transaction settlement processes (national clearing system and real time gross settlement) on the velocity of money in Indonesia in the period 2016M1 to 2020M6. The results of the research findings state that the impact generated by the rapid velocity of payment system innovation on the velocity of money circulation is not temporary, this is evidenced by the effect of payment system innovation on the velocity of money circulation which continues over a long period of time.

Financial Literacy and Demographic Factors in Karachi City of Pakistan

Considering the vigorously dynamic fluctuations in the monetary condition, particularly in financial/budgetary markets, it is urged to improve speculators’ money managing knowledge. Financial proficiency involves making well aware and efficient financial choices. The present examination explores the socio-economic factors defining Pakistani investors’ financial literacy and effects of financial literacy on stock market investment decision. A (questionnaire) survey was developed based on 3 sections: The primary section included the measuring of demographic characteristics of respondents, the secondary was based on measuring financial literacy of respondents, whereas the last section was dedicated to measuring stock market investment decision of respondents.
 Purpose – The motivation behind this study is to evaluate the financial proficiency of individual speculators/investors of the Karachi city of Pakistan who put resources into the Pakistan stock exchange, local financial market in Karachi. Likewise, it inspects the connection between financial education and the participation of the socio-economic-demographic components which influence the investment choice.
 Design/methodology/approach – we articulated a modified questionnaire for our investigation, separated into three sections. The first part of which was dedicated to statistics of demographic factors. The subsequent part highlights factors influencing the speculation choice of the Pakistani speculators. The last section is committed to financial literacy utilizing examination-type, true and false, questions and incorporates 10 questions. Convenient sample of 231 of Pakistani national financial specialists/investors is utilized for this purpose.
 Findings – The outcomes show that the financial literacy of Pakistani speculators’ is relatively higher than the average expected level. The financial education seen to be influenced by salary, sex, and employment status and work place activity. financial education exists paying little heed to the age of the respondents. We observed a “significant difference in the level of financial literacy between groups of respondents as per their sexual orientation. More specifically, females have a lower level of financial education than males. At last, the outcomes show that there is a significant relationship between financial literacy and investment decision. Results likewise show that respondents with higher financial literacy have higher stock holding as compared with those with low financial literacy.”
 Originality/value – The present examination is viewed as significant and unique being one amongst the very few conducted in Pakistan's situation and Pakistani context. As far as we possibly know, no such examinations have been led with respect to estimating financial literacy in Pakistan or the connection between financial literacy level and the variables that influence the investment choices.

Cleveland City: Policy and Budget Reallocation Analysis

The City of Cleveland in Ohio has endured suffering from detrimental budgeting and policy issues. The city’s monetary forecasts utilize internal recorded information, National and State economic indicators, and cost and income projections to appraise the city’s future monetary condition, including choices for controlling costs and expanding income (City of Cleveland, 2021). The purpose of this research paper is to examine the top five low-income and high-income areas in Cleveland. These low-income areas include Youngstown (Poverty rate of 36.2), East Cleveland (Poverty rate of 38.9), Warren (Poverty rate of 35.6), Fostoria (Poverty rate of 31.1), and Cambridge (Poverty rate of 33.2) (Exner, 2020). The high-income areas include Kamm's Corner, Riverside, Tremont, Old Brooklyn, and Jefferson (Kolmar, 2020). This project will discuss the background of Cleveland, Ohio, its budget allocation in previous years, the methods in which budget and allocation are chosen, and the contrast of methods to other cities in the US. A random digit dialing (RDD) survey will be distributed amongst residents in Cleveland, Ohio. The data will be processed in software including JASP and RStudio. Furthermore, the team will be specifically working with Cleveland City Council member Honorable Jasmine Santana.