IDEAS home Printed from
   My bibliography  Save this paper

Financial Policies and Dynamic Game Simulation in Poland and Hungary


  • Yoshino, Hisao


Recently, steady economic growth rates have been kept in Poland and Hungary. Moneysupplies are growing rather rapidly in these economies. In large, exchange rates have trends ofdepreciation. Then, exports and prices show the steady growth rates. It can be thought that percapita GDPs are in the same level and development stages are similar in these two countries. It isassumed that these two economies have the same export market and export goods are competing init. If one country has an expansion of monetary policy, price increase and interest rate decrease.Then, exchange rate decrease. Exports and GDP will increase through this phenomenon. At thesame time, this expanded monetary policy affects another country through the trade. This mutualrelationship between two countries can be expressed by the Nash-equilibrium in the Game theory.In this paper, macro-econometric models of Polish and Hungarian economies are built and theNash- equilibrium is introduced into them.

Suggested Citation

  • Yoshino, Hisao, 2009. "Financial Policies and Dynamic Game Simulation in Poland and Hungary," IDE Discussion Papers 187, Institute of Developing Economies, Japan External Trade Organization(JETRO).
  • Handle: RePEc:jet:dpaper:dpaper187

    Download full text from publisher

    File URL:
    File Function: First version, 2009
    Download Restriction: no

    More about this item


    East Europe; Poland; Hungary; Monetary policy; Nash-equilibrium; Game theory; Macro-econometric model; Trade; Simulation; Reaction function; Money supply; Central bank;

    JEL classification:

    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games
    • E17 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Forecasting and Simulation: Models and Applications
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • F42 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - International Policy Coordination and Transmission

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    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:jet:dpaper:dpaper187. 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: (Minami Tosa). General contact details of provider: .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.