This article examines the co-movement between a leading first-world economy (Germany) and an emerging market economy (South Africa) by applying a dynamic factor model. These countries have been chosen as proxies to analyse the channels of transmission of positive supply and demand shocks in...

The eyes of the world have, in recent years, been steadfastly focused on China’s economic progress. As China has in recent years emerged as a major player on the world economic stage, its growing relations with other developing regions received much attention. Of particular note is the...