balance sheet channel in monetary transmission mechanism in Pakistan. By classifying firms as SME and large, this paper finds … a strong evidence for the existence of net worth channel in Pakistan. [SBP WP No. 49]. URL …

takes a lag of 5 months. The transmission of monetary policy shock is faster in case of prices as compared to output in … existence of price puzzle and liquidity puzzle in Pakistan while FAVAR model did not provide any evidence of puzzles. Interest … rate negatively influences prices, hence interest rate is a good instrument for controlling inflation in Pakistan but it …

This paper examines the impact of a monetary policy shock on output, prices, and the nominal effective exchange rate … main results suggest that an exogenous increase in the short-term interest rate tends to be followed by a decline in prices … and appreciation in the nominal exchange rate, but has insignificant impact on output. Moreover, the paper finds that …

-through to prices, and interest rate policy following, rather than leading, financial market developments. Our estimated monetary …

, the interest rate channel remains weak, even though there is some evidence of transmission to prices of changes in the …

increase in inflation. The model explains the joint dynamics of output, inflation, real wages, and interest rates, and is …

has tended to revert to that path after temporary deviations. Econometric analysis using Bayesian estimation suggests that … major driver of actual inflation in Canada, which makes it easier to keep inflation close to the target without large output …