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Monetary Policy in a Changing Financial Environment - Searching for an Efficient Monetary Policy Framework in Korea

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Author Info

  • Kim, C.

Abstract

This paper reviews how the changing financial environment in Korea has affected the conduct of monetary policy and examines the extent to which the Bank of Korea now uses the short-term interest rate rather than money aggregates as an operating target. Empirical results from estimation of monetary reaction functions suggest that the Bank of Korea has been following an interest rate target recently, even though it has not explicitly admitted to doing so.

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Bibliographic Info

Paper provided by Economisch Institut voor het Midden en Kleinbedrijf- in its series Papers with number 97-05.

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Length: 31 pages
Date of creation: 1997
Date of revision:
Handle: RePEc:fth:midkle:97-05

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Postal: ECONOMISCH INSTITUT VOOR HET MIDDEN EN KLEINBEDRIJF, RESEARCH INSTITUTE FOR SMALL AND MEDIUM-SIZED BUSINESS IN THE NETHERLANDS, NEUHUYS.

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Keywords: KOREA ; MONETARY POLICY;

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