Asset price volatility and macroeconomics

Author: Qiu Qiang
Publisher:
Publish Date: 2005-04-01
Features: With the development of the capital market and the accumulation of asset stocks, the impact of asset price fluctuations on the macro economy is increasing. Asset price bubbles, in particular, pose challenges to traditional monetary policy. However, to date, research on asset prices has mainly been confined to the field of financial economics, without establishing a true connection with macroeconomics. This book analyzes historical cases of asset price fluctuations, their formation mechanisms, and their impacts on consumption, investment, and financial system stability within the framework of macroeconomics, primarily focusing on the monetary-credit-asset logical relationship. It also proposes corresponding monetary policy measures.