Financial Integration, Macroeconomic Volatility And Economic Growth In The East African Community

Autor:	Erasmus Kaijage, Onesmus Mutunga Nzioka, Duncan Elly Ochieng
Rok vydání:	2017
Předmět:	Research design Finance Casual Inflation targeting business.industry Member states 05 social sciences Monetary policy Instrumental variable Financial integration Monetary economics 0502 economics and business Economics 050207 economics Volatility (finance) business
Zdroj:	European Scientific Journal, ESJ. 13:317
ISSN:	1857-7431 1857-7881
DOI:	10.19044/esj.2017.v13n19p317
Popis:	This study aimed at determining the moderating effect of macro-economic volatility on the relationship between financial integration and economic growth in the EAC. The study adopted a positivistic research philosophy and casual research design.. Generalized-two stage least squares instrumental variable regression model (G2SLSIV) was then conducted to test the hypothesis. The findings of the study showed that, macro-economic volatility does not have a significant moderating effect on the relationship between financial integration and economic growth. Therefore, the study recommends that, the governments of respective member states work on a monetary policy that aims to attain a single digit level of inflation rate (low inflation targeting), in the spirit of macro-economic convergence. The study culminates with acknowledging the limitations encountered and provides suggestions for further research.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::86b9581414a439b1401a641a0df83adb https://doi.org/10.19044/esj.2017.v13n19p317 Zobrazit plný text záznamu