This paper analyzed nature of relationship between financial system development and economic grow... more This paper analyzed nature of relationship between financial system development and economic growth in Nigeria using vector autoregressive model. The objective to validate the hypothesis, which suggest that growth experienced by the money and capital markets has not translated to long run growth of the economy. The results reveal among others that long run causality does not run from financial system development indicators and economic growth, implying that financial system development seem not to significantly catalyse economic growth trends in Nigeria. However, in specific terms, the effect of financial system development on economic growth has been positively significant only in the short run. The paper concludes that for the financial market to adequately support short and long-term growth of the Nigerian economy, the financial system need further deepening through offering and delivery of innovative financial products and service by market operators, formulation and implementation of sound monetary policies and regulations. Keywords Stock Market, Credit Market, Financial Deepening, Monetary Policy, Industrial Productivity
This papermodelsa long runrelationship between exchange rate, interest rate and
inflation using a... more This papermodelsa long runrelationship between exchange rate, interest rate and inflation using autoregressive distributed lag (ARDL)co-integration analysis. The study is motivated by the desire to ensure stability in exchange regime through a structurally nexus of interest rate and inflation volatility and targeting. Using historical data on Nigeria (1971-2010), the paper established asignificant short-run and long runpositive relationship between inflation and exchange rate. On the other hand, interest rateexhibited anegative relationship, though insignificant. Concertedeffort of all monetary authorities is therefore neededto ensure that periodic variation in inflation is kept at the barest minimum for stability in exchange rate regime to be achieved. Keywords: exchange rates, inflation, interest rate, volatility, stability, autoregressive model, co-integration
This paper analyzed nature of relationship between financial system development and economic grow... more This paper analyzed nature of relationship between financial system development and economic growth in Nigeria using vector autoregressive model. The objective to validate the hypothesis, which suggest that growth experienced by the money and capital markets has not translated to long run growth of the economy. The results reveal among others that long run causality does not run from financial system development indicators and economic growth, implying that financial system development seem not to significantly catalyse economic growth trends in Nigeria. However, in specific terms, the effect of financial system development on economic growth has been positively significant only in the short run. The paper concludes that for the financial market to adequately support short and long-term growth of the Nigerian economy, the financial system need further deepening through offering and delivery of innovative financial products and service by market operators, formulation and implementation of sound monetary policies and regulations. Keywords Stock Market, Credit Market, Financial Deepening, Monetary Policy, Industrial Productivity
This papermodelsa long runrelationship between exchange rate, interest rate and
inflation using a... more This papermodelsa long runrelationship between exchange rate, interest rate and inflation using autoregressive distributed lag (ARDL)co-integration analysis. The study is motivated by the desire to ensure stability in exchange regime through a structurally nexus of interest rate and inflation volatility and targeting. Using historical data on Nigeria (1971-2010), the paper established asignificant short-run and long runpositive relationship between inflation and exchange rate. On the other hand, interest rateexhibited anegative relationship, though insignificant. Concertedeffort of all monetary authorities is therefore neededto ensure that periodic variation in inflation is kept at the barest minimum for stability in exchange rate regime to be achieved. Keywords: exchange rates, inflation, interest rate, volatility, stability, autoregressive model, co-integration
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Papers by EBIRINGA THADDEUS
autoregressive model. The objective to validate the hypothesis, which suggest that growth experienced by the money and
capital markets has not translated to long run growth of the economy. The results reveal among others that long run causality
does not run from financial system development indicators and economic growth, implying that financial system development
seem not to significantly catalyse economic growth trends in Nigeria. However, in specific terms, the effect of financial system
development on economic growth has been positively significant only in the short run. The paper concludes that for the
financial market to adequately support short and long-term growth of the Nigerian economy, the financial system need further
deepening through offering and delivery of innovative financial products and service by market operators, formulation and
implementation of sound monetary policies and regulations.
Keywords
Stock Market, Credit Market, Financial Deepening, Monetary Policy, Industrial Productivity
inflation using autoregressive distributed lag (ARDL)co-integration analysis. The
study is motivated by the desire to ensure stability in exchange regime through a
structurally nexus of interest rate and inflation volatility and targeting. Using
historical data on Nigeria (1971-2010), the paper established asignificant short-run
and long runpositive relationship between inflation and exchange rate. On the other
hand, interest rateexhibited anegative relationship, though insignificant.
Concertedeffort of all monetary authorities is therefore neededto ensure that
periodic variation in inflation is kept at the barest minimum for stability in exchange
rate regime to be achieved.
Keywords: exchange rates, inflation, interest rate, volatility, stability, autoregressive
model, co-integration
autoregressive model. The objective to validate the hypothesis, which suggest that growth experienced by the money and
capital markets has not translated to long run growth of the economy. The results reveal among others that long run causality
does not run from financial system development indicators and economic growth, implying that financial system development
seem not to significantly catalyse economic growth trends in Nigeria. However, in specific terms, the effect of financial system
development on economic growth has been positively significant only in the short run. The paper concludes that for the
financial market to adequately support short and long-term growth of the Nigerian economy, the financial system need further
deepening through offering and delivery of innovative financial products and service by market operators, formulation and
implementation of sound monetary policies and regulations.
Keywords
Stock Market, Credit Market, Financial Deepening, Monetary Policy, Industrial Productivity
inflation using autoregressive distributed lag (ARDL)co-integration analysis. The
study is motivated by the desire to ensure stability in exchange regime through a
structurally nexus of interest rate and inflation volatility and targeting. Using
historical data on Nigeria (1971-2010), the paper established asignificant short-run
and long runpositive relationship between inflation and exchange rate. On the other
hand, interest rateexhibited anegative relationship, though insignificant.
Concertedeffort of all monetary authorities is therefore neededto ensure that
periodic variation in inflation is kept at the barest minimum for stability in exchange
rate regime to be achieved.
Keywords: exchange rates, inflation, interest rate, volatility, stability, autoregressive
model, co-integration