| Description |
1 online resource (31 pages) |
| Summary |
The paper analyzes the dynamics of inflation in Madagascar in the period 1971-2000, applying cointegration analysis and error correction modeling. The empirical results, based on quarterly data, confirm that there exists a stable money demand relationship, as well as a purchasing power relationship in the long run. The former enters the short-run dynamics of inflation and money growth, while the latter affects the short-run dynamics of the exchange rate only. We also find that an appreciation has a direct negative impact on inflation and that inflation inertia is important. In addition, we conduct FIML estimation of the system and trace the impulse responses to various shocks |
| Notes |
Available in PDF, ePUB, and Mobi formats on the Internet |
| Subject |
Madagascar.
|
| Form |
Electronic book
|
| Author |
Sacerdoti, Emilio.
|
|
Xiao, Yuan.
|
|
International Monetary Fund.
|
| ISBN |
1282106864 |
|
1451903510 |
|
9781282106864 |
|
9781451903515 |
|
