KREDIT und KAPITAL - Issue 1/1973



Steinbach, Wolf and Fromm, Axel
Ökonomische Aspekte der Portfolio-Selection-Theorie

Timmermann, Vincenz
Inflation und wirtschaftliches Wachstum

Cansier, Dieter
Geld- und finanzpolitische Beeinflussung des Trade-Off zwischen Preisniveaustabilität und Unterbeschäftigung

Book Reviews

Bredemeier, Sonning
Erfahrungen mit der Kreditplafondierung (Henning Löber)

Schneider, Günther
Zur Planung von Bankportefeuilleentscheidungen (Hans-Jacob Krümmel)

Franke, Günter
Verschuldungs- und Ausschüttungspolitik im Lichte der Portefeuille-Theorie (Jürgen Stöckel)

Meyer zu Selhausen, Hermann
Die Optimalplanung von Kapitalbeschaffung und Kapitalverwendung einer Kreditbank mit den Methoden der Unternehmensforschung (Christian Kunze)

Schönle, Herbert
Bank- und Börsenrecht (Johannes Bärmann)

Möschel, Wernhardt
Das Wirtschaftsrecht der Banken (Eberhard Wolff)

Schilcher, Rudolf (Hrsg.)
Beiträge zur Geldlehre (Gerhard Zweig)

Ringel, J.
Geldtheoretische Ansätze im Lichte der modernen Wissenschaftstheorie (Jürgen Siebke)

Liepmann, Peter
Geldtheoretische und geldpolitische Probleme des Eurodollarmarktes (Gerhard Zweig)

Schwedes, Horst
Der Bund am Kapitalmarkt (Margit Gregor)


Steinbach, Wolf and Fromm, Axel
"Economic Aspects of Portfolio Selection Theory"

This study investigates the selection of efficient and optimal portfolios from the standpoint of its economic application.

The various types of models, as procedural techniques, are described and interpreted in the light of economic aspects. An attempt is made to compare the various model variations in respect of their economic and temporal advantages and disadvantages in order to obtain pointers for practical possibilities for their application and execution. It is established that no recommendations in the nature of recipes can be given. The technical procedural aids respond so sensitively to changes in data that the dilemma between economic use and practicability on the one hand and mathematical efficiency on the other can invariably be solved only within the scope of an investor's subjective discretion.

The use of electronic data processing as a technical, organizational aid is also dealt with. The structure and contents of a so-called securities data bank are described as an example of a comprehensive data basis for computer assisted administration, supply and processing of data, and for analysis and optimisation. In conclusion, cost determinants and organization questions, especially in connection with the use of computers are discussed, and further indications are given to the relevance and potential practical use of portfolio selection models.


Timmermann, Vincenz
"Inflation and Economic Growth"

The author discusses the question, "Does inflation promote or inhibit economic growth?". If we follow prevailing growth theory, the answer is: "Moderate inflation promotes economic growth".

The economic arguments in favour of this thesis do, indeed, seem more convincing than the counterarguments. But if allowances are made for the possibility of self-acceleration of even a slight inflation and its social intolerability - both these aspects are neglected in the growth models presented hitherto - the answer to the initial question will prove to be more differentiated: The arguments for the thesis that slight inflation results in higher profit rates and stimulates investment relate primarily to the short run; over longer terms, i. e. allowing for an adaptation phase, they are not convincing. The judgment on the thesis that moderate inflation is not necessarily unsocial depends on whether the wealth losses of socially weaker strata are greater or smaller than their income gains; regrettably we know almost nothing about the probable income gains.

The author feels that the thesis that a slight inflation does not inevitably get out of control is not sufficiently well established. He considers relative price stability and reasonable economic growth to be fundamentally reconcilable; in his opinion there is no economic law that controverts this. He therefore pleads for uncompromising pursuance of the objective of relative price stability so that wage and price demands which go beyond the measure set by joint agreement are linked with the risk of unemployment and a decline in sales.


Cansier, Dieter
"The Influence of Monetary and Fiscal Policy on the Trade-off between Price Level Stability and Underemployment"

Since substantial rises in the price level already occur in underemployment situations with what is deemed to be socially intolerable unemployment, a persistent high degree of employment with minimal unemployment must be regarded as a datum for combatting inflation. Under these conditions, the greater the success in moderating the trade-off between price level stability and underemployment by purposive influencing of the determinants of the trade-off, the more rapidly will inflation policy bring satisfactory results. The traditional strategy of combatting inflation by overall control of demand with the aid of monetary and fiscal policy can make only a very modest contribution to this for a number of important reasons. The exertion of a certain amount of influence on inflation expectations as determinants of the trade-off is most likely to prove possible.

While the anti-inflationary employment of monetary policy is restricted to control of the development of macroeconomic demand, with the aid of fiscal policy it is possible to pursue two other important anti-inflationary strategies: 1. Modification of the structural conditions an the goods and labour markets (fiscal structural policy), 2. Purposive influencing of the monopolistic wage and price policy of the labour unions and firms by regulating wages and profits by way of taxation (income taxation policy). Fiscal policy measures oriented to structural policy may be aimed above all at increasing the mobility of labour, intensifying competition and ameliorating differences in sectoral advances in the productivity of labour. This last aspect has hardly been discussed hitherto. Similarly, the orientation of taxation policy to income policy has been largely neglected up to the present. In the more recent literature, Wallich and Weinstein have developed an interesting proposal in this respect.

The various points of application for structural and income policy, in addition to the strategy of overall control of demand, should be paid greater attention in practical inflation policy, for they make possible a particularly purposive exertion of influence on important inflationary factors and thereby enhance the effectiveness of inflation policy.