Arby, Muhammad Farooq (2006): Seigniorage Earnings of Commercial Banks and State Bank of Pakistan. Published in: Journal of the Institute of Bankers Pakistan , Vol. Vol 73, No. No 2, (April 2006)
Download (64kB) | Preview
The paper reviews the trend of seigniorage earnings by State Bank of Pakistan and commercial banks. It is found that seigniorage revenue of the SBP has declined overtime which indicates autonomy of the central bank as well as less reliance of the government on SBP’s resources for budget financing. In general, a direct relationship has been observed between seigniorage and inflation in Pakistan. However, at the two extremes of very high or very low inflation an inverse relation is detected.
|Item Type:||MPRA Paper|
|Institution:||State Bank of Pakistan|
|Original Title:||Seigniorage Earnings of Commercial Banks and State Bank of Pakistan|
|Keywords:||seigniorage; Inflation Tax; Pakistan|
|Subjects:||E - Macroeconomics and Monetary Economics > E4 - Money and Interest Rates > E40 - General|
|Depositing User:||Muhammad Farooq Arby|
|Date Deposited:||18 Sep 2007|
|Last Modified:||04 Nov 2016 21:42|
Bailey, J. Martin (1956); The Welfare cost of Inflationary Finance; The Journal of Political Economy, Vol. 64, No. 2, April 1956, 93-110.
Baltensperger, E. & Jordan, T.J. (1997); Seigniorage, Banking and the Optimal Quantity of Money; Journal of Banking and Finance, Vol. 21, No. 6, June, 1997, 781-796.
Brennan, Geoggrey & Buchanan, James (1981); Revenue Implications of Money Creation under Leviathan; The American Economic Review, Vol. 71, No. 2, May 1981, 347-351.
Eckstein, Zvi & Leiderman, Leonardo (1992); Seigniorage and the Welfare Cost of Inflation: Evidence from and Inter-temporal Model of Money and Consumption; Journal of Monetary Economics, Vol. 29, No. 3, June 1992, 389-410.
Fischer, Stanley (1982); Seigniorage and the Case for a National Money; Journal of Political Economy, Vol. 90, No. 2, April 1982, 295-313.
Friedman, M. (1971); Government Revenue from Inflation; Journal of Political Economy, Vol. 79, No. 4, July/August 1971, 846-856
IMF Institute, (1999); Financial Programming & Policies; IMF course material on financial programming & policies, International Monetary Fund.
Keynes, J.Maynard (1923); Public Finance and Changes in the Value of Money; Printed in A Tract on Monetary Reforms – The Collected Writings of John Maynard Keynes; Macmillan St Martin’s Press, 1923.
Khan, M. And C.L. Ramirez-Rojas (1986); Currency Substitution and Government Revenue from Inflation; Revista de Analisis Economico, Vol. 1, No. 1, Noviembre 1986, 79-88.
Mankiw, N. Gregorey (1987); The Optimal collection of Seigniorage: Theory and Evidence; Journal of Monetary Economics, Vol. 20, No.2, September 1987, 327-342.
Marty, A.L. (1976); A note on the Welfare Cost of Money Creation; Journal of Monetary Economics, Vol. 2, No.1, 1976, 121-124.
Marty, A.L. (1994); The Inflation Tax and the Marginal Welfare Cost in a world of Currency and Deposits; The Federal Reserve Bank of St. Louis Review, 76, No. 4, July/August, 1994, 67-71.