A small macroeconomic model of trade and inflation in Ghana
Donyina-Ameyaw, Samuel (2004) A small macroeconomic model of trade and inflation in Ghana. Working Paper. University of Warwick, Department of Economics, Coventry.
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This paper contains an empirical investigation of the effects of trade and inflation on a conventional macroeconometric model for Ghana. First, the results corroborate the findings of the Fund that both devaluation and credit restraint are effective in addressing the balance of payment issues facing Ghana. Second, the direction and time pattern of the effects of these two policy experiments are different. Third, further depreciation of the domestic currency is unfavourable to the cause of curbing inflation in Ghana. It rather leads to price increases and is a source of fuelling inflation, and could lead to a spiral of inflation through the agitation for higher wages by employees.
|Item Type:||Working or Discussion Paper (Working Paper)|
|Subjects:||H Social Sciences > HC Economic History and Conditions|
|Divisions:||Faculty of Social Sciences > Economics|
|Library of Congress Subject Headings (LCSH):||Bank of Ghana, Macroeconomics -- Econometric models, Business, Inflation (Finance) -- Ghana, Ghana -- Economic conditions|
|Series Name:||Warwick economic research papers|
|Publisher:||University of Warwick, Department of Economics|
|Place of Publication:||Coventry|
|Number of Pages:||37|
|Status:||Not Peer Reviewed|
|Access rights to Published version:||Open Access|
|Funder:||Bank of Ghana|
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