Re-Visiting Fisher Effect for Fragile Five Economies
JOURNAL OF CENTRAL BANKING THEORY AND PRACTICE, cilt.7, sa.2, ss.203-218, 2018 (ESCI, Scopus)
- Yayın Türü: Makale / Tam Makale
- Cilt numarası: 7 Sayı: 2
- Basım Tarihi: 2018
- Doi Numarası: 10.2478/jcbtp-2018-0019
- Dergi Adı: JOURNAL OF CENTRAL BANKING THEORY AND PRACTICE
- Derginin Tarandığı İndeksler: Emerging Sources Citation Index (ESCI), Scopus
- Sayfa Sayıları: ss.203-218
- İnönü Üniversitesi Adresli: Evet
Özet
In this study, we aim to investigate the relationship between interest rate and inflation rate in the context of the Fisher effect hypothesis for Fragile five economies. In this regard, we employ recently developed panel co-integration and panel causality test methods. The bi-directional causal relation between interest rate and inflation rate exists only in Brazil and Indonesia. On the other hand, there is no causation linkage in India. Results imply that Fisher effect exists only in Brazil and Indonesia.