Social and Behavioral Sciences Commons^™

Monetary And Fiscal Policies: Ordinary Recessions And Financial Crises, Svetoslav I. Semov

Gettysburg Economic Review

This paper uses two different samples to study the effects of monetary and fiscal policies on the profiles of recessions and recoveries. Several results emerge from the econometric analysis presented. First, monetary policy during ordinary recessions and banking crises is a powerful tool with lasting effects that extend to recovery growth rates. However, the effect of monetary policy during financial crises is strongly diminished in the case of forbearance – banks left to function despite being technically insolvent. Second, the effectiveness of fiscal policy is reversed – it is a powerful tool during banking crises, but it does not seem …

History Of Usury: The Transition Of Usury Through Ancient Greece, The Rise Of Christianity And Islam, And The Expansion Of Long-Distance Trade And Capitalism, Cheryl A. Olechnowicz

Gettysburg Economic Review

Society and its ideas, markets, and institutions are in the constant process of change. These transforming factors contribute to the evolution of economics. Usury is one prominent economic issue that demonstrates this evolution. As it has developed, usury, the lending of money at interest or excessive interest, has been debated for almost two millennia.

During the lifetime of Aristotle, 384-322 B.C., the lending of money for profit was believed to be unnatural and dishonorable. Aristotle and his beliefs of usury provided a foundation of ideas for future perspectives on the practice. This negative connotation associated with usury continued in history …

The Macroeconomy And Long-Term Interest Rates: An Examination Of Recent Treasury Yields, Hans W. Hardisty

Gettysburg Economic Review

From 2001 to 2006, U.S. long-term interest rates have remained steady while the federal funds rate has both declined and increased, as Figure 1 shows. Historically, long term interest rates tend to respond to changes in short term rates, but recently this does not appear to be the case. Former chairman of the Federal Reserve, Alan Greenspan, recently dubbed this occurrence a “conundrum,” because no one can provide a distinct explanation concerning this phenomenon. There are several noteworthy incentives for why long-term yields should have increased from 2004 to 2006, but they have remained constant during this time period. According …