This paper offers evidence of the asymmetric effect of monetary policy on economic activity. First, asymmetric adjustment is captured in three macroeconomic relationships for investment, the consumer price deflator, inventories and house prices. These relationships are then embedded in a small...

This preliminary study characterizes the dynamic effects of shocks in government spending and taxes on macroeconomic variables in Pakistan. It employs a five variable structural Vector Auto regression model covering the time period 1973:1-2008:4 for the variables GDP, inflation, the interest...