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- © Vilnius University, 2002-2013
- © Brno University of Technology, 2002-2013
- © University of Latvia, 2002-2013
Article
TESTING THE COINTEGRATION IMPLICATIONS OF A SIMPLE NEW-KEYNESIAN MODEL ON ROMANIAN DATA
Gheorghe Ruxanda, Andreea Muraru
ABSTRACT. In this paper we derived and tested the co-integration implications of a New-Keynesian model on the basis of Romanian data. The aim of these restrictions is to find the closeness between the data and the theoretical model. We performed the tests both on each of the equation of the model and on the model as a whole but little empirical support was found.
KEYWORDS: cointegration, New-Keynesian model, steady-state restrictions, CVAR, Romania..
JEL classification: C52, E12.