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DC Field | Value | Language |
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dc.contributor.author | Caporale, GM | - |
dc.contributor.author | Gil-Alana, L | - |
dc.date.accessioned | 2020-03-23T12:04:02Z | - |
dc.date.available | 2020-03-23T12:04:02Z | - |
dc.date.issued | 2020-04-13 | - |
dc.identifier.citation | Caporale, G.M. and Gil-Alana, L. (2020) 'Prospects for a monetary union in the East Africa Community: some empirical evidence', South African Journal of Economics, 88, pp. 174-185. doi: 10.1111/saje.12247. | en_US |
dc.identifier.issn | 0038-2280 | - |
dc.identifier.uri | https://bura.brunel.ac.uk/handle/2438/20568 | - |
dc.description.abstract | © 2020 The Authors. This paper examines generalised purchasing power parity (G-PPP) and business cycle synchronisation in the East Africa Community with the aim of assessing the prospects for a monetary union. The univariate fractional integration analysis shows that the individual series exhibit unit roots and are highly persistent. The fractional bivariate cointegration tests suggest that there exist bivariate fractional cointegrating relationships between the exchange rate of the Tanzanian shilling and those of the other EAC countries, and also between the exchange rates of the Rwandan franc, the Burundian franc and the Ugandan shilling. The Fractionally Cointegrated Vector AutoRegressive (FCVAR) results imply the existence of a single cointegrating relationship between the exchange rates of the EAC countries. On the whole, there is evidence in favour of G-PPP. In addition, there appears to be a high degree of business cycle synchronisation between these economies. On both grounds, one can argue that a monetary union should be feasible. | - |
dc.format.extent | 174 - 185 (12) | - |
dc.format.medium | Print-Electronic | - |
dc.language.iso | en_US | en_US |
dc.publisher | John Wiley & Sons Ltd on behalf of Economic Society of South Africa | en_US |
dc.rights | © 2020 The Authors. This is an open access article under the terms of the Creative Commons Attribution License, which permits use, distribution and reproduction in any medium, provided the original work is properly cited. | - |
dc.rights.uri | https://creativecommons.org/licenses/by/4.0/ | - |
dc.subject | East Africa community | en_US |
dc.subject | monetary union | en_US |
dc.subject | optimal currency areas | en_US |
dc.subject | fractional integration and cointegration | en_US |
dc.subject | business cycle synchronization | en_US |
dc.title | Prospects for a monetary union in the East Africa Community: some empirical evidence | en_US |
dc.type | Article | en_US |
dc.identifier.doi | https://doi.org/10.1111/saje.12247 | - |
dc.relation.isPartOf | South African Journal of Economics | - |
pubs.publication-status | Published | - |
pubs.volume | 88 | - |
dc.identifier.eissn | 1813-6982 | - |
Appears in Collections: | Dept of Economics and Finance Research Papers |
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