Testing the Relationship between Mony Supply and Gross Domestic Product in egypt - Egyptian Knowledge Bank

129979

Testing the Relationship between Mony Supply and Gross Domestic Product in egypt

Article

Last updated: 04 Jan 2025

Subjects

Abstract

This paper uses the Cointegration. Error Correction Model, and Granger Causality techniques to determine the relationship between the real money suppl) and real GDP in Egypt, and the direction of the causality between the two variable* in both short and long run. The study covers the period from 1991 to 2010. ADF test showed the two scries are intcgiatcd of order one 1(1) The Cointegration test indicated the existence of a long run equilibrium between real GDP and real money supply based on F.ngle-Grangcr two steps test. I'he Error term and F-test from VECM beside the Granger causality test indicated unidirectional causality running from real GDP to real money supply in the ahotl run as well as in the long run This results consistent with the Keynesian theory, the (RBC) theory and various empirical studies in different countries We concluded that the monetary policy was not effective policy in Egypt on its effect on the real GDP during the study period

DOI

10.21608/caf.2011.129979

Authors

View Authors

First Name

Mohammed

Last Name

Aboalsoaoud

MiddleName

Affiliation

Email

City

Orcid

Volume

Article Issue

Related Issue

19364

Issue Date

2011-06-01

Receive Date

2010-03-15

Publish Date

2011-06-01

Page Start

Page End

Print ISSN

1110-4716

Online ISSN

2682-4825

Article File

CAF_Volume 31_Issue 2_Pages 1-28.pdf

PDF . 601.7kB

Link

https://caf.journals.ekb.eg/article_129979.html

Detail API

https://caf.journals.ekb.eg/service?article_code=129979

Order

Publication Type

Journal

Publication Title

التجارة والتمويل

Publication Link

https://caf.journals.ekb.eg/

MainTitle