This paper examines the growth-inflation nexus in Franc zone currency unions. It aims at estimating the inflation threshold above which additional inflationary pressures adversely affect economic expansion. It uses cointegration methods that are applied to data from 14 African countries from the Franc zone over 1970-2018. Based on country-level data, the results indicate that it is possible to increase the threshold levels used by regional central banks to 5.4-5.6 percent in the Central African Monetary Union and 4.3-4.5 percent in the West African Monetary Union. Homogeneous cointegration panel data analyses confirm the need to increase the threshold in Central African Monetary Union countries but do not in the West African Monetary Union countries.
Detalhes
-
Autor
Sanga,Dimitri, Gui-Diby,Steve Loris
-
Data do documento
2020/09/21
-
TIpo de documento
Documento de trabalho sobre pesquisa de políticas
-
No. do relatório
WPS9405
-
Nº do volume
1
-
Total Volume(s)
1
-
País
-
Região
-
Data de divulgação
2020/09/21
-
Disclosure Status
Disclosed
-
Nome do documento
Inflation Threshold Levels and Economic Growth in the Franc Zone Countries
-
Palavras-chave
inflation; trade and investment; long-run relationship; percent inflation rate; fixed exchange rate regime; discrete high inflation crisis; marginal product of capital; negative impact on growth; low levels of inflation; level analysis; access to international market; state bank of pakistan; free movement of labor; average rate of inflation; natural resource rent; terms of trade; international trade openness; impact of inflation; panel data analysis
- Exibir mais
Downloads
COMPLETAR RELATÓRIO
Versão oficial do documento (pode conter assinaturas, etc.)
- PDF oficial
- TXT*
- Total Downloads** :
- Download Stats
-
*A versão do texto é um OCR incorreto e está incluído unicamente em benefício de usuários com conectividade lenta.