Global Liquidity – Key Definitions of the Concept

Andrii Chaban

doi:10.5281/zenodo.13854179

Authors

Andrii Chaban Institute of International Relations Taras Shevchenko National University of Kyiv, Ukraine https://orcid.org/0009-0007-1698-658X

DOI:

https://doi.org/10.5281/zenodo.13854179

Keywords:

global liquidity, official liquidity, private liquidity

Abstract

This paper explores the concept of global liquidity, which has become a key topic of international political debate in recent years. Global liquidity and its determinants are of great importance for international financial stability. However, the concept of global liquidity continues to be used in varying contexts, and this ambiguity can lead to unfounded and potentially destabilising policy initiatives. In a world of high capital mobility, global liquidity cannot be approached as it was several decades ago. It encompasses both official and private components.

References

International Monetary Fund. (2011, March). Technical note for G20 sub-working group on measuring global liquidity [Mimeo].

International Monetary Fund. (2011, April). Housing finance and financial stability—Back to basics? Global Financial Stability Report, World Economic and Financial Surveys. Washington, DC: International Monetary Fund.

Chen, S., Liu, P., Maechler, A., Marsh, C., Saksonovs, S., & Shin, H. S. (2012). Exploring the dynamics of global liquidity. IMF Working Paper, WP/12/246. https://www.imf.org/external/pubs/ft/wp/2012/wp12246.pdf

D'Agostino, A., & Surico, P. (2009). Does global liquidity help to forecast U.S. inflation? Journal of Money, Credit and Banking, 41, 479–489. https://doi.org/10.1111/j.1538-4616.2009.00220.x

European Central Bank. (2011). Money and credit as early warning indicators of asset price misalignments. In Annual Report (Chapter 2, Box). Frankfurt am Main: European Central Bank.

Hovell, M. J. (2020). Capital wars: The rise of global liquidity. London, UK: Palgrave Macmillan.

International Monetary Fund. (2011, April). How to address the systemic part of liquidity risk. Global Financial Stability Report, World Economic and Financial Surveys. Washington, DC: International Monetary Fund.

Uhlig, H. (2005). What are the effects of monetary policy on output? Results from an agnostic identification procedure. Journal of Monetary Economics, 52, 381–419. https://doi.org/10.1016/j.jmoneco.2004.06.007

Global Liquidity – Key Definitions of the Concept

Authors

DOI:

Keywords:

Abstract

References

Downloads

Published

Issue

Section

License