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VOLUME 03 ISSUE 05 MAY 2020
Paper Type:Research
Paper Title:Rethinking Error Correction Model in Macroeconometric analysis: A Relevant Review
Author:Christian P. Pinshi
About Author: University of Kinshasa, Researcher
Page No:73-79
Article Info

The cointégration methodology has bridged the growing gap between economists and econometricians in understanding dynamics, equilibrium and bias on the reliability of macroeconomic and financial analysis, which is subject to nonstationary behavior. This paper proposes a comprehensive literature review on the relevance of the error correction model. Econometricians and economists have shown that error-correction model is a powerful machine that provides the economic system and macroeconomic policy with a refinement in the econometric results1.

Key-words:
Cointegration, Error correction model, Macroeconomics JEL Classification : C32, E0
Abstract
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Abstract:100
Pdf:72
Citation
Paper Type:Research
Paper Title:COVID-19 Uncertainty and Monetarypolicy
Author:Christian P. Pinshi
About Author:University of Kinshasa
Page No:80-94
Article Info

The COVID-19 pandemicis influencing the management of monetarypolicy in its role as regulator of aggregate demand and guarantor of macroeconomicstability. We use a Bayesian VAR framework (BVAR) to provide an analysis of the COVID-19 uncertainty shock on the economy and monetarypolicy response. This analysis shows important conclusions. The uncertainty effect of COVID-19 hits unprecedented aggregate demand and the economy. In addition, it undermines monetary policy action to soften this fall in aggregate demand and curb inflation impacted by the exchange rate effect. We suggest a development of unconventional devices for a gradual recovery of the economy.

Key-words:
Uncertainty, COVID-19, Monetarypolicy, Bayesian VAR
JEL Classification:
C32, E32, E51, E52, E58
Abstract
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