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Does money matter in Fiji? An empirical study for the period 1970-2007

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Choong, Chee-Keong
Jayaraman, T.K.
Kumar, Dinesh

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Crawford School of Public Policy, The Australian National University
Asia Pacific Press

Abstract

This article investigates the role of money in the Fijian economy during a 38-year period (1970-2007). Our study findings confirm the existence of a long-run co-integrating relationship between output, prices, money, the interest rate and the exchange rate. It is also indicated that the linkage runs from money to output and not in the other direction. Further, there is a causal relationship running from money to prices, which establishes the pivotal role of money in the determination of the price level.

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http://hdl.handle.net/1885/157970

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Pacific Economic Bulletin (1991-2010)

Source

Pacific Economic Bulletin, Vol. 25, No. 2, 2010

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Journal article

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252_money.pdf (7.88 MB)

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