Since Alogoskoufis and Smith (AER, 1991), several studies have stated that there are seemingly universal shifts in monetary policy attitudes toward inflation. However, no coherent empirical evidence is yet provided either to confirm whether there were universal monetary policy regime shifts or to explain what fundamentals may drive such shifts. Using long time series data from a group of 18 dev...

Recent empirical research found that the strong short-term relationship between monetary aggregates and US real output and inflation, as outlined in the classical study by M. Friedman and Schwartz, mostly disappeared since the early 1980s. In the light of the B. Friedman and Kuttner (1992) information value approach, we reevaluate the vanishing relationship between US monetary aggregates and th...

Throughout history, monetary systems have repeatedly collapsed, and new emerged to redress the failed flaws. The repercussions of current system give rise collapses in modern economic social life. This study aims an Islamic proposition remedy flaws system. money can be created based on production work effort supply chain starting from a licensed warehousing It has been inferred that Electronic ...

Abstract In this paper, we examine the ability of Fisher effect to describe subjective behaviour monetary policy responses for nations constrained by global factors. We developed and estimated a simple DSGE model appraising consequence an integrated financial market predictor on national response in Africa’s largest economies – Nigeria South Africa. The paper theoretical intuition famous New Ke...

This paper employs a neural network (NN) to study the nonlinear predictability of exchange rates for four currencies at the 1-, 6and 12-month forecast horizons. We find that our neural network model with market fundamentals cannot beat the random walk (RW) in out-of-sample forecast accuracy, although it occasionally shows a limited market-timing ability. The neural network model without monetar...

Exchange rates forecasting performance is tested by a model which incorporates endogenous monetary policy through a Taylor rule reaction function. Other usual monetary and equilibrium empirical exchange rate models are also evaluated for comparison purposes. Predictability is tested by comparing the models to a benchmark random-walk specification. We contribute to the recent literature in many ...