Money and inflation in inflation-targeting regimes – new evidence from time–frequency analysis

Ryczkowski, Maciej

doi:10.1080/15140326.2020.1830461

Cited by 5 publications

(3 citation statements)

References 69 publications

(84 reference statements)

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Habimana (2017) analyses the liquidity effect using wavelet analysis and Granger causality in both the US and Sweden and finds little evidence for monetary neutrality, but finds strong evidence for the liquidity effect in both countries. And more recently Ryczkowski (2021) using both time series and time‐frequency techniques and with band‐pass filtering techniques, shows that the link between money growth and inflation was weak and statistically insignificant from 1990 onwards, but using wavelet analysis demonstrates significant causality running from money growth to inflation, and strong significant co‐movements between the two variables around the great recession at a typical business cycle frequency. When considering the modelling aspects, Power et al.…”

Section: Brief Literature Reviewmentioning

confidence: 99%

Monetary policy objectives and economic outcomes: What can we learn from a wavelet‐based optimal control approach?

Crowley

Hudgins

2021

The Manchester School

View full text Add to dashboard Cite

It has recently been widely recognized that monetary policy objectives change through time as our understanding of monetary policy and its impact on the macroeconomy evolves. In recent years there has been an extensive review of the framework for monetary policy at major central banks around the world, given the practical problems that have been encountered with inflation targets. This paper is a contribution to this debate, in that the aim of this paper is to evaluate the consequences of adopting different monetary policy objectives in the U.S. macroeconomic policy setting. To accomplish this, we first decompose U.S. macroeconomic data using a time‐frequency domain technique, namely discrete wavelet analysis. We then model the behavior of the U.S. economy over each wavelet frequency range and use our estimated parameters to construct a tracking model. To illustrate the usefulness of this approach, we simulate jointly optimal fiscal and monetary policy with different short‐term monetary targets: an inflation target, a money growth target, an interest rate target, and a real economic growth target. The results show that the most effective monetary policy targets to achieve economic growth are either inflation targets or economic growth targets.

show abstract

Section: Brief Literature Reviewmentioning

confidence: 99%

Monetary policy objectives and economic outcomes: What can we learn from a wavelet‐based optimal control approach?

Crowley

Hudgins

2021

The Manchester School

View full text Add to dashboard Cite

show abstract

“…For inflation to occur therefore, the price level should affect almost every commodity and should not be temporal. Hence, since the money supply also affects price levels, monetary stability can help maintain price stability (Ryczkowski, 2021).…”

Section: Introductionmentioning

confidence: 99%

The Impact of Money Supply on Inflation in Nigeria (1981 - 2021)

Okeke

2023

ejtas

View full text Add to dashboard Cite

This study examined the impact of money supply on inflation in Nigeria between 1981 and 2021, using Auto-Regressive Distributed Lag (ARDL) approach is employed to estimate long run relationship amongst variables. The data for the variables were sourced from CBN statistical Bulletin 2021 edition. The results of the test established a significant long run positive and negative relationship between Inflation and Interest towards money supply on inflation in Nigeria. Based on the results of the variables, it is therefore recommended that the policies put in place by the monetary and fiscal authorities in Nigeria should be such that will encourage the supply of money to a certain level in order to curb inflation in Nigeria in the short medium and long term.

show abstract

“…Hence, since the money supply also affects price levels, monetary stability can help maintain price stability (Ryczkowski, 2021). Inflation rate in the Egyptian economy is generally thought of as a complex phenomenon, which however tends to be greatly grown as a result of several factors.…”

Section: Introductionmentioning

confidence: 99%

Impact of Money Supply on Inflation Rate in Egypt: A VECM Approach

Dekkiche

2022

Economics and Business

View full text Add to dashboard Cite

In this work, the research team employed a VECM regression model to evaluate the relationship between money supply and inflation rate (INF) in Egypt from 1990 to 2019. The model includes four independent variables: money supply (MS), imports (IMP), Gross Domestic Product (GDP), and exchange rate (EXCH). A Johansen-Juselius co-integration test and a Vector Error Correction Model were used to determine the existence of long-term and short-term links between the variables. The results demonstrated the existence of co-integrating links between the variables. Aside from the effects of GDP, all independent factors had a positive effect on the inflation rate. Depending on the results, the money supply is the primary long-term predictor of the inflation rate in Egypt.

show abstract

Money and inflation in inflation-targeting regimes – new evidence from time–frequency analysis

Cited by 5 publications

References 69 publications

Monetary policy objectives and economic outcomes: What can we learn from a wavelet‐based optimal control approach?

Monetary policy objectives and economic outcomes: What can we learn from a wavelet‐based optimal control approach?

The Impact of Money Supply on Inflation in Nigeria (1981 - 2021)

Impact of Money Supply on Inflation Rate in Egypt: A VECM Approach

Contact Info

Product

Resources

About