engleski

Macroeconomic Granger-Causal Dynamics in Croatia: Evidence Based on a Vector Error-Correction Modelling Analysis

The main task is investigation the causal relationship between money and other macroeconomic variabales such as output, prices, interest rate and exchange rate in Croatia. The empirical results show that money supply cannot be independent stimulus to the economic activity in the short run in Croatia. The vector error correction model indicates that in the short-run variables interest rate and exchange rate stand out econometrically exogenous. In the empirical period these veriables were relatively the leading variables. They were initial receptors of exogenous shocks to the long run equilibrium.

money; output; interest rate; prices; granger causality; vector autoregression; variance decomposition; impulse response function

nije evidentirano