It is obvious that an optimal policy should consider main dimensions of the phenomenon that can affect the transmission mechanism of that policy. In an open economy, it is expected that variables of the foreign sector play important role in its economic behavior. Therefore, it needs that any optimal policy in an open economy to design in such a way which involves changes in the foreign sector. ...

Reliable measures of the size and direction of changes in monetary policy are very crucial for examining the effects of monetary policy on the economy. Monetary Condition Index (MCI) can be used as a tool to assess the stance of monetary policy. This index is defined as the weighted average of different monetary transmission mechanism relative to their values in a base period. The weights in MC...

Against the backdrop of invariant financial and economic reforms, there are presumptive changes in confines speed with which target variables respond to Reserve Bank India (RBI) policy signals. The result transmission lags from monetary real sector is unmistakable. empirical approach used this study a natural progression VAR model videlicet, co-integration, error correction techniques overcome ...

This study aims to assess the effectiveness of alternative monetary policy transmission channels in Tanzania. Theoretically, is expected differ between developed and developing countries due varied structural institutional features. The empirical work undertaken by this suggests that sensitivity output prices changes are generally weak slow. Moreover, found a significant contribution explaining...