Testing for real interest rate convergence in European countries

dc.contributor.author	Fountas, Stilianos	en
dc.date.accessioned	2010-11-10T11:34:42Z	en
dc.date.available	2010-11-10T11:34:42Z	en
dc.date.issued	1998-01	en
dc.identifier.citation	Fountas, S. (1998). "Testing for real interest rate convergence in European countries" (Working Paper No. 024) Department of Economics, National University of Ireland, Galway.	en
dc.identifier.uri	http://hdl.handle.net/10379/1376	en
dc.description.abstract	We use cointegration tests that determine endogenously the regime shift to test for bilateral short-term and long-term real interest rate convergence in the European Monetary System in the 1979-1993 period. The results of these tests provide strong evidence in favour of bilateral real interest rate convergence between Germany and several countries in our sample, particularly for long-term real interest rates. This result carries the important policy implication that in several European countries monetary policy has lost some of its effectiveness as a stabilisation policy tool.	en
dc.format	application/pdf	en
dc.language.iso	en	en
dc.publisher	National University of Ireland, Galway	en
dc.relation.ispartofseries	Economics working papers;024	en
dc.subject	Economics	en
dc.subject	Real interest parity	en
dc.subject	Cointegration with regime shifts	en
dc.title	Testing for real interest rate convergence in European countries	en
dc.type	Working Paper	en
dc.description.peer-reviewed	peer-reviewed	en