The study analyzes price level in Azerbaijan economy over the period of 2000-2007 by employing a specific approach. The paper concludes that price increases caused by a resource boom differs from the price increases generated by a non-booming economy. Thereby, inflation mainly caused by resource...

By using quarterly data from 2001-2007 and applying various approaches, we estimate real equilibrium exchange rate misalignment for Azerbaijani Manat (AZN) and find that AZN is slightly overvalued. Purchasing power parity approach does not explain the equilibrium exchange rate. However using...

In the study conducted comparative analyses by constructing “Equilibrium prices” models based on intersectorial balance tables of production and distribution of goods and services for 2001 and 2006 in Azerbaijan economy.

Using quarterly data from 2000-2007 and applying Error Correction Model and Johansen Co- integration Approaches I estimate the impact of real oil price on the real exchange rate of Azerbaijani manat. Estimation outputs derived from these approaches are very close to each other and indicate that...

The study examines possibility of threshold effect of inflation on economic growth over the period of 2000-2009. Estimated threshold model indicates that there is a non-linear relationship between economic growth and inflation in the Azerbaijani economy and threshold level of inflation for GDP...

This study investigates the impact of the real exchange rate on the non-oil exports of the Republic of Azerbaijan in the framework of cointegration and an asymmetric error correction. Threshold and Momentum Threshold Autoregressive methods are applied over the quarterly period 2000Q1-2010Q4. The...

This paper examines the relationship between oil market shocks and financial instability in Asian countries using a Structural Vector Autoregression (SVAR) following Kilian’s (2009) methodology. Instability in the Asian financial markets is measured by the Financial Stress Index (FSI). Based...

The Republic of Azerbaijan is one of the oil and gas rich countires of the former Soviet Union. After the second stage of the Shah Deniz gas field, natural gas exltation and exportation became one of the key issues in Azerbaijan’s oil and gas stategy. Diversification of the oil and gas...

The research investigates the impact of the fiscal policy on the non-oil sector of Azerbaijani economy in the framework of cointegration and error correction modeling over the quarterly period 2000-2009. For increasing robustness of the obtained results, we employed two different cointegration...

The research investigates the impact of the fiscal policy on the non-oil sector of Azerbaijani economy in the framework of cointegration and error correction modeling over the quarterly period 2000-2009. For increasing robustness of the obtained results, we employed two different cointegration...