01691cas a2200241 a 4500 AALejournalIMF001942 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451850314 1018-5941 BD-DhAAL BD-DhAAL Kuijs, Louis. Monetary Policy Transmission Mechanisms and Inflation in Slovakia / Louis Kuijs. Washington, D.C. : International Monetary Fund, 2002. 1 online resource (27 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper presents the results of an empirical analysis into monetary policy transmission mechanisms and inflation in the Slovak Republic. The estimated vector autoregression (VAR) model suggests that inflation is determined by changes in foreign prices, the exchange rate, and wage costs, with a modest effect of aggregate demand, in line with theory for small, open economies. Monetary policy is shown to affect inflation via these channels. Changes in money supply seem to have a modest but rapid impact on prices. The measured effect of interest rate changes is modest and gradual, although it appears to have become more important in recent years. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2002/080 Full text available on IMF http://elibrary.imf.org/view/journals/001/2002/080/001.2002.issue-080-en.xml IMF e-Library