Monetary policy
REZA ALAEI; Ahmad Salahmanesh; seyed Aziz Arman
Abstract
In the present study, the effect of economic uncertainty on the efficiency of monetary policy has been investigated using data from the first quarter of 1990 to the fourth quarter of 2017. For the purpose of the present study, first, we determine the optimal economic uncertainty index by using SOS search ...
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In the present study, the effect of economic uncertainty on the efficiency of monetary policy has been investigated using data from the first quarter of 1990 to the fourth quarter of 2017. For the purpose of the present study, first, we determine the optimal economic uncertainty index by using SOS search algorithm. After determining the optimal economic uncertainty index, the Interaction Vector Autoregressive (IVAR) approach used to calculate the impulse response functions (IRFs) of inflation and production variables to the shock of variable under high and low uncertainty levels. The results show that under different levels of uncertainty, the response of production and inflation to the shock of variable is different, so that the response of production variable under low uncertainty is higher than the high uncertainty level, while the response of Inflation is reversed, meaning that the response to this shock, under high uncertainty is higher than the low uncertainty level.
International Commerce
Ebrahim Anvari; Ahmad Salahmanesh; Majid Sheikh Ansari; Mahvash Moradi
Volume 6, Issue 24 , September 2016, , Pages 119-132
Abstract
Investigating the effect of government corruption and financial liberalization on economic growth is a fundamental issue in recent economic literature. However, considering these two phenomena simultaneously have been ignored by researchers. This paper, empirically and theoretically, studies how negative ...
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Investigating the effect of government corruption and financial liberalization on economic growth is a fundamental issue in recent economic literature. However, considering these two phenomena simultaneously have been ignored by researchers. This paper, empirically and theoretically, studies how negative effect of corruption can be affected by financial liberalization. The results show that, by liberalizing financial account, high corrupt countries levy more taxes and therefore the negative effect of corruption on economic growth intensified. In empirical model, we include OPEC countries for the duration of 1990-2013. Estimation results by GMM method show that the negative signs of the interaction between financial liberalization and corruption imply that the partial impact of financial openness on economic growth decreases as the degree of corruption increases.
