Economic Perspectives

Moreover, there may be additional fluctuations in the krone exchange rate if market expectations concerning the use of petroleum revenues deviate from what is actually the

Well anchored inflation expectations made monetary policy effective – the reduction in Norges Bank’s key policy rate was perceived as a decline in the real interest rate.. Other

Partly owing to low interest rates and expectations of low real interest rates, capacity utilisation in the Norwegian economy has picked up over the past years. Improved terms

Developments over recent years show that monetary policy is effective and that inflation can be kept at a low and stable rate, even when growth in labour costs is high.. However, if

Norges Bank considers an exchange rate change to be significant if it influences expectations concerning price and cost developments to the extent that the change in the exchange

Just as global nominal interest rates may influence domestic nominal interest rates, global saving and investment behaviour and the global neutral real inter- est

In general, an unexpected upward shift in labour costs will prompt an increase in interest rates in order to avoid higher inflation. With a floating exchange rate and unchanged

Like other IBOR rates, NIBOR can in principle be decomposed into policy rate expectations and a risk premium. As for EURIBOR, the risk premium in NIBOR expresses the extra