SVAR MODEL TO EXAMINE THE SHORT AND LONG TERM MONETARY POLICY IN INDONESIA
This research was conducted by the author to see the impact of monetary policy on the domestic macro-economic variables is important in Indonesia using a structural model of the short and long term, contained in a structural model of vectorAutoregressions (SVAR). The author uses the effects of macroeconomic policy is the key in this research, by applying the matrix model SVAR initiated by Bernanke & Mihov (1998) short term and Blancard & Quah (1989) long term. Research conducted using the 4 variables, consisting of two domestic variables, namely the interest rate of Bank Indonesia (SBI), the consumer price index (CPI) and two non-domestic variables, namely the interest rate the central bank United States(FFF), the rate of inflation in the United States (INF_USA). From the research that has been done can be inferred that the SVAR models used in this study can be used as a reference to the theoretical expectations in order to show that the rise in interest rates and the central bank of the United States could affect Indonesia's domestic variables.
SVAR, restricted short-term, restrictions long-term, IRF, FEVD, SBI, CPI, FFF, Inflation USA.
TEGUH SUGIARTO (2015). SVAR MODEL TO EXAMINE THE SHORT AND LONG TERM MONETARY POLICY IN INDONESIA. International Journal of Economic Sciences, Vol. IV(4), pp. 66-77. , DOI: 10.52950/ES.2015.4.4.005
Received: 8 Oct 2015
Revised: 21 Nov 2015
Accepted: 6 Dec 2015
Published: 20 Dec 2015
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