TY  - JOUR
AU  - Huizinga,John
AU  - Leiderman,Leonardo
TI  - Interest Rates, Money Supply Announcements, and Monetary Base Announcements
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 1705
PY  - 1985
Y2  - September 1985
UR  - http://www.nber.org/papers/w1705
L1  - http://www.nber.org/papers/w1705.pdf
N1  - Author contact info:
John Huizinga
Graduate School of Business
The University of Chicago
1101 East 58th Street
Chicago, IL   60637
Tel: 773-702-7272;  john.huizinga@gsb.uchicago.edu
E-Mail: john.huizinga@ChicagoBooth.edu

Leonardo Leiderman
Department of Economics
Tel-Aviv University
Ramat Aviv  69978
ISRAEL
E-Mail: leoleid@post.tau.ac.il
AB  - This paper presents a new set of empirical regularities on the link between interest rates, money supply announcements and monetary base announcements. Among the main findings reported are: (i) unexpected increases in the announced monetary base have a significantly positive effect on interest rates during the period from October 1979 to October 1982; (ii) although unexpected money supply and monetary base announcements have the same impact on interest rates, they have different implications for the future behavior of the money supply and monetary base; (iii) the significant response of longer-term interest rates to unexpected monetary announcements is reflecting a response of current and expected future short-term rates -- i.e.term-structure premia are not altered by these announcements.
ER  -