Back to Search
Start Over
Monetary Determinants of Deposit Euroization in European Post-Transition Countries.
- Source :
- Panoeconomicus; Mar2013, Vol. 60 Issue 1, p89-101, 13p
- Publication Year :
- 2013
-
Abstract
- This paper investigates the long-run and short-run relationship between deposit euroization in twelve European post-transition economies and two determinants of deposit euroization that are under the influence of monetary policy: the exchange rate and the interest rate differential. The link between deposit euroization, exchange rates and interest rate differentials is investigated using Johansen cointegration and error correction models for each country separately. The results suggest that changes in both monetary drivers have significant effects on deposit euroization and are therefore important for explaining and fighting deposit euroization. Differences between exchange rate regimes, fixed and managed vs. floating, seem to matter for deposit euroization. [ABSTRACT FROM AUTHOR]
- Subjects :
- MONETARY policy
FOREIGN exchange rates
INTEREST rates
BANK deposits
Subjects
Details
- Language :
- English
- ISSN :
- 1452595X
- Volume :
- 60
- Issue :
- 1
- Database :
- Supplemental Index
- Journal :
- Panoeconomicus
- Publication Type :
- Academic Journal
- Accession number :
- 88989780
- Full Text :
- https://doi.org/10.2298/PAN1301089T