Angelica Munga 77485 by https://padlet.com/774854/diyfixuqpidz7ln4 en-us 2021-06-23 09:41:04 UTC 2023-03-26 00:45:31 UTC hello@padlet.com BNM maintains OPR at 1.75% at final monetary policy meeting for 2020. 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621427101 Bank Negara Malaysia (BNM) has made the decision to keep the Overnight Policy Rate (OPR) unchanged, indicating that the central bank is confident in its ability to navigate the monetary policy landscape if the need arises to support the economy's long-term outlook.To conclude the point given, the OPR was reduced to aid the economy's recovery from the COVID-19 pandemic.The government has set various measurement and action to help with the economic growth, rate of employment and inflation. Consumers may see an increasing trend in disposable income as a result of the 25 basis point reduction in funding costs, as loan repayments will be reduced.Consumers will have more expendable income, which will ultimately boost the domestic economy.This OPR reduction will benefit all the consumers where the loan interest is decreasing along with the OPR.
https://www.theedgemarkets.com/article/bnm-keeps-opr-175

Recommendation&comment
As we can see, we can conclude that OPR is one of federal reserve system (FED) tools under monetary policy which control the setting of the money supply by policy makers in central bank.Throughout this study the central bank has reduce the opr due to Covid-19 that became the main reason for the reduction was due to uncertainties in the global market, which can negatively impact our country.
Study shows that:
In 2016, the OPR was reduced from 3.25% to 3%, with the reduction of 25 basis points. This is the first reduction in seven years, as the previous cut was made in the year 2009. In 2009, the OPR was reduced to a historic low of 2% and was raised again in the year 2010 to 2.75%.

In 2011, the rate was increased again to 3% and was maintained till the year 2013. Meanwhile, from the year 2014 to 2015, the rate was set at 3.25%. Prior to 2009, the OPR was set at a historical high of 8.25% in the year 1998 during the recession and dropped drastically in the year 1999 to 3.25%.

Meanwhile, the ceiling and floor rates of the corridor for the OPR are correspondingly reduced to 3.25% and 2.75% respectively.

 
]]> 2021-06-23 09:51:07 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621427101 Consumer Confidence Holds Steady In May 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621475294 After a dramatic rise in recent months, consumer confidence in the United States remained virtually unchanged in May. Consumers' assessments of current conditions have improved, implying that economic growth will remain strong in Q2. Consumers were also less upbeat this month about their income prospects—a reflection, perhaps, of both rising inflation expectations and a waning of further government support until expanded Child Tax Credit payments begin reaching parents in July. Overall, consumers remain optimistic, and confidence should remain resilient in the short term, as vaccination rates climb, COVID-19 cases decline further, and the economy fully reopens. In May, consumers' assessments of current conditions improved. Consumers who say business circumstances are "excellent" have decreased from 19.4 percent to 18.7 percent, while those who say business conditions are "poor" have decreased from 24.5 percent to 21.8 percent. The consumer's opinion of the labour market has improved. The percentage of consumers who feel jobs are "plenty" has increased from 36 percent to 40 percent. Consumers who believe jobs are plentiful increased from 36.3 percent to 46.8%, while those who believe jobs are difficult to come by decreased from 14.7 percent to 12.2 percent. 

]]> 2021-06-23 10:48:34 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621475294 Recommendation&Comment 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621532130 As we can see, if the consumer confidence is increasing so the Aggregate Demand curve will shift to the right.This are causes by the hinger and rapid spending and investment by the consumers.]]> 2021-06-23 11:51:05 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621532130 Fasten your seatbelts, inflation is here 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621543903 The headline 1.7 percent increase in the Malaysia Consumer Price Index (CPI) for March was higher than the market's projection of a 1.6 percent increase. As we enter the second quarter, inflation readings are projected to rise, as Bank Negara Malaysia (BNM) has stated.The headline 1.7 percent increase in the Malaysia Consumer Price Index (CPI) for March surprised the market, as it was higher than the 1.6 percent increase predicted.As we enter the second quarter, inflation is expected to rise, as the Bank Negara Malaysia (BNM) has stated.The low base impact, according to BNM, will cause inflation to spike during this time. ]]> 2021-06-23 12:02:36 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621543903 Recommendation&Comment 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621545030 According to what I have study.Inflation was cause by the price increases.This will cause the Aggregate demand curve will shift to the left due to the price increase that decrease the consumer spending.]]> 2021-06-23 12:03:29 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621545030 More find jobs but unemployment rate remains high, says govt 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621553601 The unemployment rate remained high in the first quarter of 2021, despite the fact that the number of employed people increased by 0.2 percent in February compared to January, according to the Statistics Department. There has been an increase in labour demand as a result of more firms being allowed to operate during MCO 2.0 and schools reopening across the country refer Chief statistician Mohd Uzir Mahidin. Employment in the manufacturing and construction industries grew month over month as well. Following a rising trend in global oil prices, it was predicted that inflation would force prices of products and services to rise in the coming months.Despite the introduction of MCO 2.0 and conditional MCO in practically all states, the cheif claimed the figures for the first two months of 2021 showed “a route towards recovery.” ]]> 2021-06-23 12:11:55 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621553601 Recommendation&Comment 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621571785 The unemployment rate is the proportion of the labor force that is not currently employed but could be.To my recommendation in the point of student people should be fighting togather to make a safer and robust enviroment that by following given SOPs.This will ensure that the economic sector reopen with stable base that open more oppurtunity for the unemployment.

]]> 2021-06-23 12:26:59 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621571785 Expansionary fiscal stance is the need of the hour — economists 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621601762 The government can increase its debt level to improve people's well-being and keep the country's economic recovery plan on track, but spending must be cautious.The revised deficit target was not surprising, according to economists, because the government needs to be ahead of the curve in terms of giving support and stimulating the economy when the economy slows. The nature of the shocks that the country is currently experiencing, according to Bank Islam Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid, has stemmed from the health crisis, which will take time to dissipate.In that respect, he said, the government would have to determine the correct priorities, and efforts to close the budget gap would have to be put on hold in this case. It is not so much about the government's borrowing capacity as it is about what programmes can really help the rakyat navigate the current challenges, particularly those who have been out of work and SMEs and other businesses that are struggling to service their debts, pay rent or other expenses due to cash flow problems. ]]> 2021-06-23 12:48:09 UTC https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621601762 Recommendation&Comment 774854 https://padlet.com/774854/diyfixuqpidz7ln4/wish/1621602637 As we se this study related to the fiscal policy which bring the meaning of government adjusts its spending levels and tax rates to monitor and influence a nation's economy. It is the sister strategy to monetary policy through which a central bank influences a nation's money supply.On top of that:
  • Fiscal policy is the means by which a government adjusts its spending levels and tax rates to monitor and influence a nation's economy.
  • It is the sister strategy to monetary policy through which a central bank influences a nation's money supply.
  • Using a mix of monetary and fiscal policies, governments can control economic phenomena.
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