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Periodical article |
| Title: | The Characteristics of Macroeconomic Shocks in the CFA Franc Zone |
| Authors: | Fielding, David Lee, Kevin Shields, Kalvinder |
| Year: | 2004 |
| Periodical: | Journal of African Economies |
| Volume: | 13 |
| Issue: | 4 |
| Period: | December |
| Pages: | 488-517 |
| Language: | English |
| Geographic term: | French-speaking Africa |
| Subjects: | franc zone inflation gross national product Economics and Trade |
| External link: | https://jae.oxfordjournals.org/content/13/4/488.full.pdf |
| Abstract: | In this paper the authors fit a vector error correction model (VECM) in output and prices to data from 10 countries of the CFA franc zone: Burkina Faso, Côte d'Ivoire, Mali, Senegal, Togo, Cameroon, Central African Republic, Congo, Gabon and Chad. This model allows for various cross-country interactions in both the short run and the long run. The VECM parameters are used to estimate persistence profiles of different kinds, in order to identify the degree of homogeneity in the way in which the countries respond to macroeconomic shocks. In this way light can be shed on questions about the likely size of the costs incurred from these countries' membership of a monetary union. Bibliogr., notes, sum. [Journal abstract] |