dc.contributor.author | Cortinhas, Carlos | en_GB |
dc.contributor.department | Economic Policy Research Unit (NIPE), Universidade do Minho | en_GB |
dc.contributor.department | University of Exeter | en_GB |
dc.date.accessioned | 2008-09-12T10:36:50Z | en_GB |
dc.date.accessioned | 2011-01-25T10:25:48Z | en_GB |
dc.date.accessioned | 2013-03-19T15:57:12Z | |
dc.date.issued | 2006 | en_GB |
dc.description.abstract | This paper aims to investigate whether structural shocks among ASEAN countries are
becoming more symmetrical over time, thus indicating whether this region is becoming better
prepared to introduce a common monetary policy. For that purpose a dynamic space-state
model that complements the conventional Structural VAR models used in the existing
literature was estimated by using the Kalman filter so that the evolution of the degree of shock
symmetry and, therefore, the evolution in the degree of convergence could be identified over
time, distinguishing between a country’s convergence with a regional partner and a more
general trend of convergence with the rest of the world.
The results showed that in the majority of cases there has been an increase in the
degree of convergence of demand shocks in recent years. More importantly, it also showed an
increase in divergence in supply shocks for most cases since the beginning of the 90’s even
when taking into account the Asian Financial Crisis. This is especially true for the periphery
countries suggesting that the Philippines and Thailand are not only not converging but
actually diverging from the core group. These results have important implications for the
prospects of the creation of a common monetary policy in the region | en_GB |
dc.identifier.uri | http://hdl.handle.net/10036/37692 | en_GB |
dc.language.iso | en | en_GB |
dc.relation.ispartofseries | University of Exeter Economics Department Discussion Paper | en_GB |
dc.relation.ispartofseries | 06/08 | en_GB |
dc.relation.url | http://www.sobe.ex.ac.uk/economics/papers/2006/Econ_0608.pdf | en_GB |
dc.subject | Optimum currency areas | en_GB |
dc.subject | Monetary integration | en_GB |
dc.subject | Asymmetric shocks | en_GB |
dc.subject | Convergence | en_GB |
dc.subject | ASEAN | en_GB |
dc.title | Asymmetry of Shocks and Convergence in Selected Asean Countries: A Dynamic Analysis | en_GB |
dc.type | Working Paper | en_GB |
dc.date.available | 2008-09-12T10:36:50Z | en_GB |
dc.date.available | 2011-01-25T10:25:48Z | en_GB |
dc.date.available | 2013-03-19T15:57:12Z | |
dc.description | Formerly at Economic Policy Research Unit (NIPE), Universidade do Minho, now at University of Exeter | en_GB |