Arbeitspapier
Correcting inflation with financial dynamic fundamentals: which adjustments matter in Africa?
This paper assesses the adjustment of inflation with financial dynamic fundamentals of money (financial depth), credit (financial activity) and efficiency. Three main findings are established. (1) There are significant long-run relationships between inflation and the fundamentals. (2) The error correction mechanism is stable in all specifications but in case of any disequilibrium, only financial depth is significant in adjusting inflation to the long-run relationship. (3) In the long-run, short-term adjustments in the ability of banks to transform money into credit do not matter in correcting inflation. This is most probably due to surplus liquidity issues. Policy implications are discussed.
- Sprache
-
Englisch
- Erschienen in
-
Series: AGDI Working Paper ; No. WP/13/003
- Klassifikation
-
Wirtschaft
Price Level; Inflation; Deflation
Money Supply; Credit; Money Multipliers
Economywide Country Studies: Africa
- Thema
-
Excess money
inflation
credit
Africa
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Asongu, Simplice A.
- Ereignis
-
Veröffentlichung
- (wer)
-
African Governance and Development Institute (AGDI)
- (wo)
-
Yaoundé
- (wann)
-
2013
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:43 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Asongu, Simplice A.
- African Governance and Development Institute (AGDI)
Entstanden
- 2013
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