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Social and Behavioral Sciences Commons™
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Full-Text Articles in Social and Behavioral Sciences
The Effect Of Changes In The Federal Funds Rate On Stock Markets: A Sector-Wise Analysis, Kunaey Garg
The Effect Of Changes In The Federal Funds Rate On Stock Markets: A Sector-Wise Analysis, Kunaey Garg
Undergraduate Economic Review
The federal funds rate is an indicator of monetary policy that investors in the stock market scrutinize very closely. This paper determines the relationship between changes in the federal funds rate and sector stock indexes. The paper goes on to determine why particular sectors are more sensitive to interest rate changes than others. Weekly returns of the Dow Jones ICB classified financial, energy, utilities, materials, industrials, consumer goods, consumer services, information technology, healthcare and telecommunications sectors are analyzed using separate OLS regression models for each sector. The results show that the utilities, financials, telecom and basic materials sectors are the …
Nafta Toward A Common Currency: An Economic Feasibility Study, Kelly Hugger
Nafta Toward A Common Currency: An Economic Feasibility Study, Kelly Hugger
Undergraduate Economic Review
The recent emergence of the Euro, combined with the completion of a decade of North American Free Trade Agreement (NAFTA) has sparked interest in adopting a common currency for North America. This study examines the likelihood that Canada, Mexico, and the United States will adopt a common currency under fixed exchange rate regimes. The benefits and costs of a common currency are explored using the theory of optimum currency areas (OCA). Empirical research focuses on several variables including intra-regional and intra-industry trade, trade openness, gross domestic product, inflation rates, interest rates, economic growth rates, business cycle synchronization, factor mobility, fiscal …