Monetary Variability and Monetary Variables in the Franc Zone
Failure to detect or account for structural changes in economic modelling can lead to misleading policy inferences, which can be perilous, especially for the more fragile economies of developing countries. Using three potential monetary policy instruments (Money Base, M0, and Reserve Money) for 13 member-states of the CFA Franc zone over the period 1989:11-2002:09, we investigate the magnitude of information extracted by employing data-driven techniques when analyzing breaks in time-series, rather than the simplifying practice of imposing policy implementation dates as break dates. The paper also tests Granger's (1980) aggregation theory and highlights some policy implications of the results.
Volume (Year): 15 (2010)
Issue (Month): 2 (September)
|Contact details of provider:|| Postal: |
Web page: http://www.economicissues.org.uk
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Michail Karoglou, 2010. "Breaking down the non-normality of stock returns," The European Journal of Finance, Taylor & Francis Journals, vol. 16(1), pages 79-95.
- Friedman, Milton, 1977. "Nobel Lecture: Inflation and Unemployment," Journal of Political Economy, University of Chicago Press, vol. 85(3), pages 451-72, June.
- Fielding, David, 2004.
"How Does Monetary Policy Affect the Poor? Evidence from the West African Economic and Monetary Union,"
Working Paper Series
UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
- David Fielding, 2004. "How Does Monetary Policy Affect the Poor? Evidence from the West African Economic and Monetary Union," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 13(4), pages 563-593, December.
- David Fielding, 2003. "How Does Monetary Policy Affect the Poor? Evidence from the West African Economic and Monetary Union," Discussion Papers in Economics 03/11, Department of Economics, University of Leicester.
- Elena Andreou & Eric Ghysels, 2001.
"Detecting Multiple Breaks in Financial Market Volatility Dynamics,"
University of Cyprus Working Papers in Economics
0202, University of Cyprus Department of Economics.
- Elena Andreou & Eric Ghysels, 2002. "Detecting multiple breaks in financial market volatility dynamics," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 17(5), pages 579-600.
- Elena Andreou & Eric Ghysels, 2001. "Detecting Mutiple Breaks in Financial Market Volatility Dynamics," CIRANO Working Papers 2001s-65, CIRANO.
- Granger, C. W. J., 1980. "Long memory relationships and the aggregation of dynamic models," Journal of Econometrics, Elsevier, vol. 14(2), pages 227-238, October.
- Obstfeld, Maurice, 1986.
"Capital controls, the dual exchange rate, and devaluation,"
Journal of International Economics,
Elsevier, vol. 20(1-2), pages 1-20, February.
- Maurice Obstfeld, 1984. "Capital Controls, The Dual Exchange Rate, and Devaluation," NBER Working Papers 1324, National Bureau of Economic Research, Inc.
- Hossain, A., 2005. "Granger-Causality Between Inflation, Money Growth, Currency Devaluation and Economic Growth in Indonesia, 1951-2002," International Journal of Applied Econometrics and Quantitative Studies, Euro-American Association of Economic Development, vol. 2(3), pages 45-68.
- Perron, Pierre, 1990.
"Testing for a Unit Root in a Time Series with a Changing Mean,"
Journal of Business & Economic Statistics,
American Statistical Association, vol. 8(2), pages 153-62, April.
- Perron, P., 1989. "Testing For A Unit Root In A Time Series With A Changing Mean," Papers 347, Princeton, Department of Economics - Econometric Research Program.
- Barro, Robert J., 1976. "Rational expectations and the role of monetary policy," Journal of Monetary Economics, Elsevier, vol. 2(1), pages 1-32, January.
- Caporale, Tony, 1993. "Monetary variability and real output," Economics Letters, Elsevier, vol. 42(2-3), pages 219-222.
When requesting a correction, please mention this item's handle: RePEc:eis:articl:210coleman. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dan Wheatley)
If references are entirely missing, you can add them using this form.