Money Demand and Inflation in Madagascar /

This paper uses a two-sector model to estimate the relationship between prices, money, and the exchange rate in Madagascar during the period 1982-2004. The estimated model, using quarterly data, finds a stable long-run relationship among monetary aggregates, domestic prices, real income, and foreign...

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मुख्य लेखक: Ben Nassar, Koffie
स्वरूप: पत्रिका
भाषा:English
प्रकाशित: Washington, D.C. : International Monetary Fund, 2005.
श्रृंखला:IMF Working Papers; Working Paper ; No. 2005/236
ऑनलाइन पहुंच:Full text available on IMF
विवरण
सारांश:This paper uses a two-sector model to estimate the relationship between prices, money, and the exchange rate in Madagascar during the period 1982-2004. The estimated model, using quarterly data, finds a stable long-run relationship among monetary aggregates, domestic prices, real income, and foreign interest rates. In addition, the error-correction model shows that changes in the monetary aggregates, the exchange rate, and foreign interest rates exert a significant impact on inflation. The results also suggest that a disequilibrium in the money market has a lasting impact on inflation. The paper concludes with policy recommendations.
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भौतिक वर्णन:1 online resource (25 pages)
स्वरूप:Mode of access: Internet
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