IDEAS home Printed from https://ideas.repec.org/a/ris/jecdev/022430.html

External Shocks and Monetary Policy Effectiveness: A Review of Extant Methodologies

Author

Listed:
  • Kordzo Sedegah

    (University of South Africa, South Africa)

  • Nicholas M. Odhiambo

    (University of South Africa, South Africa)

  • Simplice A. Asongu

    (University of South Africa, South Africa)

Abstract

This study reviews the extant methodologies in research focusing on the nexus between external shocks and monetary policy effectiveness. It is premised on the argument that the adopted methodology to examine the empirical validity and plausibility of estimated models is fundamental in monetary policy effectiveness in the light of external shocks. Hence, the choice of the methodological approach translates the effectiveness of corresponding monetary policy rules and institutions. It is established in the review that the extant literature converges on a set of methodological underpinnings that are relevant in assessing the effects of external shocks on monetary policy effectiveness. Such convergence is documented in this study by assessing country-specific and panel-oriented studies focusing on non-WAEMU (West African Economic and Monetary Union) countries, especially in terms of information criteria motivating the choice of extant methodologies.

Suggested Citation

  • Kordzo Sedegah & Nicholas M. Odhiambo & Simplice A. Asongu, 2026. "External Shocks and Monetary Policy Effectiveness: A Review of Extant Methodologies," Journal of Economic Development, The Economic Research Institute, Chung-Ang University, vol. 51(1), pages 91-114, March.
    • Handle: RePEc:ris:jecdev:022430
    DOI: 10.35866/caujed.2026.51.1.004
    as

    Download full text from publisher

    File URL: https://jed.cau.ac.kr/archives/51-1/51-1-4.pdf
    File Function: Full text
    Download Restriction: None
    File URL: https://libkey.io/10.35866/caujed.2026.51.1.004?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General
    • F15 - International Economics - - Trade - - - Economic Integration
    • F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration
    • F42 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - International Policy Coordination and Transmission
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:jecdev:022430. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tram Nguyen (email available below). General contact details of provider: https://edirc.repec.org/data/eccaukr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.