IX. Meanings.

Read the passage below and explain the meanings of the words and phrases which have been underlined.

The Monetary Analysis Divisions provide the economic analysis, which supports the Bank's work in pursuit of monetary stability. That includes the continuous analysis of the monetary and economic situation in the UK and overseas. Other aspects of the work are the analysis of structural economic issues affecting longer-term economic performance, including the industrial and social consequences of monetary policy; analysis of alternative monetary policy strategies; analysis of techniques for implementing monetary policy; and extraction of information about financial market expectations from financial asset IX. Meanings. prices. The plans for EMU have a large bearing on much of the work, and the Divisions contribute to preparatory work on EMU by the European Monetary Institute and the European Union Monetary Committee, and participate in other international forums.

The main published output of Monetary Analysis is the quarterly Inflation - Report, which aims for a high reputation as a comprehensive and rigorous account of the factors affecting inflation in the UK, and which includes the analysis and projections, which underlie the Bank's advice to the Chancellor of the Exchequer on monetary policy.

The Monetary IX. Meanings. Analysis Divisions undertake extensive research to help maintain and develop the quality of the Bank's policy advice. Much of the research is published as speeches or articles or in summary form in the Quarterly Bulletin and in working papers published by the Bank, as well as in the proceedings of conferences in which members of the staff have participated. Over the past -year, the Bank has published research in the Quarterly Bulletin on a range of subjects including:

- Monetary aggregates: the significance of broad money and the demand for Divisia money.

- Monetary policy strategies: how should central banks reduce inflation, the IX. Meanings. benefits of low inflation, the significanceof simple monetary policy rules, and international monetary policy co-ordination.

- The differential industrial impact of monetary policy.

- The construction of yield curves for G7 countries and the application of yield curve techniques to recent developments in bond yields.

- Exchange rate behaviour.

- The probability distributions attached by the market to future asset prices, deduced from option prices.

Документ IX. Meanings.