How useful is monetary econometrics in low-income countries?
Subtitle: the case of money demand and the multipliers in Rwanda
By: prepared by David Hauner and Gabriel Di Bella.
Contributors: Di Bella, C. Gabriel.; International Monetary Fund. African Dept.
Series: IMF working paper -- WP/05/178
Publisher: International Monetary Fund, African Dept.
Published: 2005
Place of publication: Washington, D.C
Language: eng
Number of pages: 22
Subjects: Monetary policy -- Rwanda -- Econometric models.; Monetary policy -- Developing countries -- Econometric models.; Demand for money -- Rwanda -- Econometric models.; Multiplier (Economics) -- Econometric models.
Description: This paper revisits the usefulness of econometric monetary analysis in low-income countries in a case study on Rwanda, an interesting case given its floating exchange rate and reliance on indirect monetary policy instruments on the one hand, and its somewhat typical data and institutional shortcomings on the other hand. The findings are generally encouraging for the use of econometric models for monetary analysis in low-income countries. Notwithstanding substantial qualifications, time series and structural models of the money multiplier and money demand yield results that are statistically and economically reasonable enough to usefully inform policymaking.
Notes: "September 2005."

Includes bibliographical references (p. 21).

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