This paper presents a model of the U.K. business cycle using quarterly data from 1955q1 to 1989q1. The methodology adopted is that of the structural vector autoregression, which combines unrestricted dynamics with restrictions on the contemporaneous interactions of variables derived from...

Purpose – The purpose of this paper is to evaluate the performance of six types of policy rules applied for Indonesia, using monthly data spanning January 1980 to December 2008. Design/methodology/approach – This paper uses deterministic simulations on a small macro model and evaluates the...

It has long been recognised that the balance between backward-looking and forward-looking expectations has critical policy implications. This is because backward-looking expectations impart a substantial degree of inertia to the inflation rate whereas forward-looking expectations lead to rapid...

It is recognized that the effectiveness of monetary policy in the control of inflation depends critically on the relationship between inflation and the output gap. During booms, inflation is highly sensitive to monetary influences, but during recessions this influence is considerably muted....

In this paper we estimate a monetary disequilibrium model for Turkey based on Khan and Knight's [Khan, M. S., & Knight, M. D. (1981). Stabilization programs in developing countries: a formal framework. IMF Staff Papers, 28, 1-53] framework. Our results show the importance of fiscal discipline in...

This paper presents estimates of export and import demand functions for the G7 economies over the period 1956 to 1995 and over two sub-periods 1956-73 and 1974-95. These estimates are used to construct predictions of the equilibrium growth rates for these economies by use of the 'Thirlwall's...