This difference is known as the on-the-run premium. In this paper, yield spreads between pairs of Treasury Inflation-Protected Securities TIPS with identical maturities but of separate vintages are analyzed. Adjusting for differences in coupon rates and values of embedded deflation options, the results show a small, positive premium on recently issued TIPS - averaging between one and four basis points - that persists even after new similar TIPS are issued and hence is different from the on-the-run phenomenon observed in the nominal Treasury market.
The world has been reeling from the financial crisis with reverberations being felt throughout the real economy on production, consumption, jobs and well-being.
At times like these, we are all reminded of just how intertwined our future prospects have become and forced to reflect on how history has led us to our current circumstances.
The economic progress of past decades has seen hundreds of millions of people enjoy major improvements in their material well-being, and these changes have been particularly noteworthy in the emerging economies.
We all understand how globalization and market liberalization have underpinned these developments, but we must not lose sight of the crucial enabling role played by the energy sector.
Without heat, light and power you cannot build or run the factories and cities that provide goods, jobs and homes, nor enjoy the amenities that make life more comfortable and enjoyable. In times of economic turbulence, the focus quite rightly falls on jobs.
The energy industry is known for being highly capital intensive, but its impact on employment is often forgotten. Beyond its direct contributions to the economy, energy is also deeply linked to other sectors in ways that are not immediately obvious.
For example, each calorie of food we consume requires an average input of five calories of fossil fuel, and for high-end products like beef this rises to an average of 80 calories. The energy industry significantly influences the vibrancy and sustainability of the entire economy — from job creation to resource efficiency and the environment.
The key factors in maintaining the health of this nexus of resources energy, food and water are sustained investment, increased efficiency, new technology, system-level integration e.
Looking towards the decades ahead, this nexus will come under huge stress as global growth in population and prosperity propel underlying demand at a pace that will outstrip the normal capacity to expand supply. To face this strain, some combination of extraordinary moderation in demand growth and extraordinary acceleration in production will need to take place.
New and healthy forms of collaboration that cross traditional boundaries, including national, public-private, cross-industry and business-civic, will be required to address these challenges. Frameworks that encourage collaboration while also being respectful of the different roles of different sectors of society will need to be developed rapidly.
While easy to say, this could prove difficult to achieve. These types of economic stressors could lead to turbulence as well as political volatility. If the impacts of these stressors are distributed unevenly across society, suspicion, blame and a deeply felt sense of injustice among many people could follow.
From this, hostility and opposition could arise even to investments that would ultimately help relieve the strain on resources. So we must achieve a renewal of the deep social contract between industry and the rest of society as a fundamental and mutually respectful backdrop for individual developments, investments and services.
It is up to industry to take the lead in this endeavour. Nobody will do it for us.GDP Growth Rate in Japan averaged percent from until , reaching an all time high of percent in the second quarter of and a record low of percent in the first quarter of The manufacturing sector is entering an era of complex transformation, driven by shifts in globalisation and demand, rapid innovations and the rise of new players in the emerging markets.
Kaoru Dahm, Richard Sciacca, Juan Sebastian Lleras and Daisuke Hagiwara discuss the key trends and transfer pricing challenges arising from this transformation.
The Office of Public Affairs (OPA) is the single point of contact for all inquiries about the Central Intelligence Agency (CIA).
We read every letter, fax, or e-mail we receive, and we will convey your comments to CIA officials outside OPA as appropriate. Growth of 7% this year for China would generate more additional output than a 14% pace did in Structurally, China’s economy faces headwinds.
China’s economic growth slowed in the latest quarter to a six-year low of %, despite repeated interest rate cuts and other stimulus measures. ST. LOUIS (AP) — Adam Wainwright pitched two-hit ball over six innings for his first win in five months, Marcell Ozuna homered and the.