This paper analyses the applicability of a nonlinear Taylor rule in characterizing the monetary policy behavior of the South African Reserve Bank, using a logistic smooth transition regression approach. Using quarterly data from 1976 to 2008 to analyze the movement of the nominal short term...

This paper derives the inflation equation to search for a possible transmission channel between the real interest rate, inflation rate, exchange rates, real output growth rate using a Bayesian VAR sign restriction approach. Our findings show that the real interest rate reacts negatively to...

We develop a global vector autoregressive model (GVAR) to analyze the globalgrowth spillover e¤ects on Africa. The model contains 46 African countries and30 developed and emerging market countries, covering 90 percent of the world econ-omy. The results suggest that there is a signi…cant growth...

Many communities suffer limited public goods provision due to civil servants (doctors, teachers, etc) supplementing their low income with moonlighting activities. Monitors of civil servants commonly also earn low salaries from monitoring and may prefer political contestation for power and...

We investigate the impact of unanticipated United States (US) bond yield increases, federal funds rate tightening, and monetary stimulus shocks on the South African economy using structural VAR models. Firstly, the US monetary stimulus shock leads to weak consumer price inflation, rand-dollar...

We investigate the impact of unanticipated United States (US) bond yield increases, federal funds rate tightening, and monetary stimulus shocks on the South African economy using structural VAR models. Firstly, the US monetary stimulus shock leads to weak consumer price inflation, rand-dollar...

This paper investigates the policy trade-off between inflation volatility and output volatility, also referred to as the Taylor curve. In so doing, the paper assesses whether the Taylor curve has shifted over time, how demand and supply shocks affect the volatilities of inflation and the output...

This paper examines macroeconomic trends, drivers and impact of remittances in Africa. First, it documents the increasing share of remittances relative to other foreign capital flows to Africa, distribution of remittance inflows across countries, and some key properties. This is followed by some...

Structural vector autoregression (SVAR) models were used in this study to investigate how unexpected increases in euro area bond yields and monetary stimulus are transmitted to the South African economy using data from January 1999 to June 2008. Firstly, evidence is found that this is consistent...

The end of apartheid in 1994 ushered in a new era in South Africa and with it came the challenge of building a democratic, inclusive and stable society. The government led by the African National Congress initially followed a neoliberal stance to manage the economy and a redistributive strategy...