Impact of Monetary Policy Shocks on the Output Gap in Nigeria

The paper aims to answer the question on whether output gap is influenced by transmission of monetary policy shocks. For Nigeria, using database time series data from Central Bank Nigeria and National Bureau Statistics (2002M01 2018M12), we estimate models Generalized Method Moments, Autoregressive Distributed Lag Differenced Ordinary Least Squares estimation techniques. We analyze empirical results 3 considered approaches impact CBN development finance naira exchange rate shocks are found significant. results, however, show that inflation interest insignificant in determination gap. also identify as a significant relevant channel for policy.