Luis Catão; Ramaswamy, Ramana - In: National Institute Economic Review 157 (1996) 1, pp. 97-106
This article uses a vector autoregression (VAR) approach to identify the causes of the 1990-92 recession in the UK. The VAR approach is shown to be particularly pertinent for quantifying the relative magnitude of the different demand shocks, and in decomposing them into monetary and...