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Non-Conventional Monetary Policy: The Case of Bolivia

Author

Listed:
  • Roger Alejandro Banegas Rivero

    (Non-Conventional Monetary Policy, Output Gap, Asset of Central Bank Inflation, Interest Rate, SVAR.)

  • Marco Alberto N ez Ram rez

    (Department of Management, Instituto Tecnol gico de Sonora, M xico)

  • Sacnict Valdez del R o

    (Department of Management, Instituto Tecnol gico de Sonora, M xico.)

Abstract

In this paper, we quantify the role of non-conventional monetary policy for Bolivia. The results suggest that changes in the real assets of the central bank show differentiated effects: contractive policy has more negative and significant effects on the real business cycle, in contrast to its expansive orientation. These results are robust to an econometric battery by alternative models (VAR, SVAR Short-Run, SVAR Long-Run, BVAR), for the quarterly period from 2000 (Q1) to 2015 (Q4). The excess growth of the M2 aggregate in relation to M1 exerts greater variability in the short-term fluctuations of output gap, in comparison with the real assets of central bank.

Suggested Citation

  • Roger Alejandro Banegas Rivero & Marco Alberto N ez Ram rez & Sacnict Valdez del R o, 2018. "Non-Conventional Monetary Policy: The Case of Bolivia," International Journal of Economics and Financial Issues, Econjournals, vol. 8(3), pages 59-67.
    • Handle: RePEc:eco:journ1:2018-03-8
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    References listed on IDEAS

    as
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    5. Luis F. Cernadas & E. René Aldazosa, 2011. "Estimación de una función de reacción para la política monetaria en Bolivia," Monetaria, CEMLA, vol. 0(1), pages 1-36, enero-mar.
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    More about this item

    Keywords

    Non-Conventional Monetary Policy; Output Gap; Asset of Central Bank Inflation; Interest Rate; SVAR.;
    All these keywords.

    JEL classification:

    • C36 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Instrumental Variables (IV) Estimation
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • E43 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Interest Rates: Determination, Term Structure, and Effects
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies

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