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Openness and the Effectiveness of Monetary Policy: A Cross-country Analysis

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Author Info
Hakan Berument
Nazli Konac
Ozge Senay

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Abstract

This paper evaluates the relationship between a country's openness to trade and the effectiveness of monetary policy in changing output growth and inflation in 29 different countries. Using quarterly data from the 1957-2003 period, empirical estimates based on individual country specifications show that the direction, significance and nature of the relationship between openness and the effectiveness of monetary policy on output growth as well as inflation vary considerably across countries.

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File URL: http://www.informaworld.com/openurl?genre=article&doi=10.1080/10168730701699018&magic=repec&7C&7C8674ECAB8BB840C6AD35DC6213A474B5
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Publisher Info
Article provided by Korean International Economic Association in its journal International Economic Journal.

Volume (Year): 21 (2007)
Issue (Month): 4 ()
Pages: 577-591
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Handle: RePEc:taf:intecj:v:21:y:2007:i:4:p:577-591

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Related research
Keywords: Openness; monetary policy;

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