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In each country, there exists a different kind of monetary policy

The monetary policy depicted by any Particular country tends to portray its financial worth. As such, this particular amount of money revolving within a country includes what appears as the monetary policy. In addition, the worth of this money appears as it circulates within the borders of the country.  The management of the desires and expectations of any country appear as the monetary policy of the country. All these definitions lead to the fact that the monetary policy works to improve on the economy of any country. There exist three basic categories of monetary policies. The first category includes the accommodative monetary policy. In this category, the policy appears to improve the economic status of the country. Secondly, the neutral policy works neither on growing nor on reducing the inflation rates. Finally, the third category includes the tight monetary policy. In this category, the policy only works on reducing the rates of inflation.

Research shows that in 2013, Slovenia appears in position 76 in terms of economic freedom. Particularly, it hit the 61.7 mark in its economic freedom. However, this appears as 1.2 depreciation from last year. The major areas of substantial decline include the spending of the government as well as on fight against corruption. The scores in the economy of Slovenia experienced a tremendous drop over the past three years. Moreover, this decline occurred from the year 2012. The structural reforms appear rather unequal in this country. In addition, the long- term economic growth and developed continues to appear diminished mostly by the institutional factors such as weaknesses.

Unfortunately, the judiciary appears immensely unreliable in the event of trying to solve this economic problem. This occurs because of the high rate of corruption depicted by the authorities involved. The government also indulges and involves itself with the judiciary immensely thus, affecting all the fundamental decisions passed by the latter.

The monetary policy of Slovenia possesses some terms that tend to govern its implementation. The primary purpose of the monetary policy appears with the implementation of the following strategies. The first monetary instrument includes standing facilities. Secondly, there includes the minimum reserves and finally the open market operations. These three tools tend to appear fundamental in the implementation of the monetary policy. The open market operations work on steering the interest rates as well as signalizing the stance of the monetary policy. Next, it works on managing the liquidity of the market (Hoover, 2011).

An exchange rate appears as a fundamental aspect in the economy of any nation

It involves the exchange of currencies. As such, it refers to the rate at which one currency appears to exchange for another different currency. In other words, it appears as the worth or value of the currency of one nation over another nation. Some nations portray a constant difference in the range of currency. Others depict a rise and fall in the exchange rates over time (United Nations, 2004).

Some of the significant exchange rates include a 91 Japanese Yen appearing exchanged for a US Dollar. This simply means that for each American dollar there occurs an exchange with 91 JPY. All the countries of the world tend to control and manage the exchange rates of their own countries. Moreover, the exchange rate regimes appear determined by the particular country. In decision- making on matters of exchange rates, there exist three exchange rates regimes. These include pegged currency, hybrid currency or free- floating currency.

A free-floating currency appears as one that tends to change over time considering fundamental factors such as supply and demand in the market. The exchange rates for this category tend to change often than other categories.

In the case of the pegged currency, the exchange rate appears fixed

As such, the currency only appreciates and depreciates at a particular stated rate.  However, certain countries dropped this currency trend for the free- floating trend. This occurred since the pegged currency trend caused immense pressure in the market; in addition, it led to a lot of market uncertainty and predictions (Mussa, 2000).

The narrow ranges that appear depicted in the exchange rates of most countries tend to cause immense deficits. Moreover, the narrow ranges lead to surpluses within the country.

The graph above displays the exchange rates of the Euro versus the dollar between the years 2011 and 2013.

The graph above tends to depict the trends of the exchange rates of my country against the US Dollar. From the graphit appears that between 2011 and 2013, there occurred a tremendous increase in the exchange rates. The currencies must have possessed a rather constant increase and decrease or narrow range. The countries of the world tend to control and manage the exchange rates of their own countries. Moreover, the exchange rate regimes appear determined by the particular country. In decision- making on matters of exchange rates, there exist three exchange rates regimes. These include pegged currency, hybrid currency or free- floating currency (Irvin, 2006).

It appears immensely fundamental to note that the monetary policies appear as instrumental factors in the economic growth or decline in any country. Any country possesses its own monetary policy. Moreover, the monetary policies tend to appear in different categories. For instance, there appears the accommodative monetary policy. In this category, the policy appears to improve the economic status of the country. Secondly, the neutral policy works neither on growing nor on reducing the inflation rates. Finally, the third category includes the tight monetary policy. In this category, the policy only works on reducing the rates of inflation.

In conclusion, each country there appears to have a different kind of monetary policy

The monetary policy depicted by any particular country tends to portray its financial worth. As such, this particular amount of money revolving within a country includes what appears as the monetary policy (Hinkle, 1999). In addition, the worth of this money appears as it circulates within the borders of the country.  The management of the desires and expectations of any country appear as the monetary policy of the country. All these definitions lead to the fact that the monetary policy works to improve on the economy of any country. There exist three basic categories of monetary policies. The first category includes the accommodative monetary policy. In this category, the policy appears to improve the economic status of the country. Secondly, the neutral policy works neither on growing nor on reducing the inflation rates. Finally, the third category includes the tight monetary policy. In this category, the policy only works on reducing the rates of inflation.

Research shows that in 2013, Slovenia appears in position 76 in terms of economic freedom. Namely, it hit the 61.7 mark in its economic freedom. However, this appears as 1.2 declines from the previous year. The major areas of economic decline include the spending of the government; among them spending on the fight against corruption. The scores in the economy of Slovenia experienced a tremendous drop over the past three years. Moreover, this decline occurred from the year 2012. The structural reforms appear rather unequal in this country. In addition, the long-term economic growth continues to appear diminished mostly by the institutional factors such as weaknesses (Krueger, 1983).

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