IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Optimum Currency Area and Shock Asymmetry: A Dynamic Analysis of the West African Monetary Zone (WAMZ)

  • Omotor, Douglason G.

    ()

    (Department of Economics, Delta State University, Abraka, Nigeria)

  • Niringiye, Aggrey

    (Faculty of Economics and Management, Makerere University, Kampala, Uganda)

Registered author(s):

    This study accesses the feasibility of forming an Optimum Currency Area (OCA) in the West African Monetary Zone (WAMZ) from the symmetry of economic shocks which affect member economies. It applies a simple bivariate variant of the vector autoregressive (VAR) model. The results relatively suggest the feasibility of the WAMZ forming an OCA. The likelihood of incoming shocks problems seem to exists from the results. It is advisable that future research apply the more informative minimum distance estimation (MDE) technique.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.ipe.ro/rjef/rjef3_11/rjef3_2011p71-82.pdf
    Download Restriction: no

    Article provided by Institute for Economic Forecasting in its journal Romanian Journal for Economic Forecasting.

    Volume (Year): (2011)
    Issue (Month): 3 (September)
    Pages: 71-82

    as
    in new window

    Handle: RePEc:rjr:romjef:v::y:2011:i:3:p:71-82
    Contact details of provider: Postal: Casa Academiei, Calea 13, Septembrie nr.13, sector 5, Bucureşti 761172
    Phone: 004 021 3188148
    Fax: 004 021 3188148
    Web page: http://www.ipe.ro/Email:


    More information through EDIRC

    References listed on IDEAS
    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.:

    as in new window
    1. Carlos Cortinhas, 2006. "Asymmetry of Shocks and Convergence in Selected Asean Countries: A Dynamic Analysis," NIPE Working Papers 3/2006, NIPE - Universidade do Minho.
    2. Olivier Jean Blanchard & Danny Quah, 1988. "The Dynamic Effects of Aggregate Demand and Supply Disturbance," Working papers 497, Massachusetts Institute of Technology (MIT), Department of Economics.
    3. Sebastian Edwards, 2006. "Monetary Unions, External Shocks and Economic Performance," Working Papers 126, Oesterreichische Nationalbank (Austrian Central Bank).
    4. Georgios Karras, 2007. "Is Africa an Optimum Currency Area? A Comparison of Macroeconomic Costs and Benefits," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 16(2), pages 234-258, March.
    5. Sebastian Edwards, 2006. "Monetary Unions, External Shocks and Economic Performance: A Latin American Perspective," Working Papers 43, Bank of Greece.
    6. Steven K. Buigut & Neven T. Valev, 2006. "Eastern and Southern Africa Monetary Integration: A Structural Vector Autoregression Analysis," Review of Development Economics, Wiley Blackwell, vol. 10(4), pages 586-603, November.
    7. Abu-Qarn, Aamer & Abu-Bader, Suleiman, 2006. "On the optimality of a GCC Monetary Union: Structural VAR, Common Trends and Common Cycles Evidence," MPRA Paper 971, University Library of Munich, Germany.
    8. Fève, P. & Matheron, J. & Sahuc, J-G., 2009. "Minimum Distance Estimation and Testing of DSGE Models from Structural VARs," Working papers 245, Banque de France.
    9. Fielding, David & Shields, Kalvinder, 2004. "The Impact of Monetary Union on Macroeconomic Integration: Evidence from West Africa," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
    10. Arief Ramayandi, 2006. "Reliability of Structural Shocks Estimates from a Bivariate SVAR Model: The Case of Southeast Asian Countries," Asia Pacific Economic Papers 357, Australia-Japan Research Centre, Crawford School of Public Policy, The Australian National University.
    11. Louis, Rosmy & Balli, Faruk & Osman, Mohammad, 2008. "Monetary Union Among Arab Gulf Cooperation Council (AGCC) Countries: Does the symmetry of shocks extend to the non-oil sector?," MPRA Paper 11611, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:rjr:romjef:v::y:2011:i:3:p:71-82. 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: (Corina Saman)

    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.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.