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: This paper constructs the Monetary Conditions Index (MCI) over the quarterly period 1983:2-2004:4, using the bounds test approach proposed by Pesaran et al. (2001). The bounds test evidently reveals long-run relationship between the real GDP and its determinants, i.e., long-term interest rate,...
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This main objective of this paper is to construct the augmented monetary conditions index (hereafter MCI) over the quarterly period 1982:1-2007:4 using bounds test approach for cointegration analysis. Results reveal evidence of cointegration between the real output (LRGDP) and its determinants...
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