Fisher hypothesis: East Asian evidence from panel unit root tests

Ling, Tai-Hu and Liew, Venus Khim-Sen and Syed Khalid Wafa, Syed Azizi Wafa (2007): Fisher hypothesis: East Asian evidence from panel unit root tests.

Abstract

This study provides evidence supportive of Fisher hypothesis in East Asian economies using panel unit root tests, which allow for cross-country variations in the estimation. Among others, one important implication is that monetary policy will be more effective in influencing long-term interest rates and long-run macroeconomic stability in these East Asian economies under regional collaboration.

• Item Type: MPRA Paper
• Institution: Labuan School of International Business and Finance, Universiti Malaysia Sabah.
• Language: English
• Keywords: Fisher hypothesis; panel unit root; univariate unit root; East Asian
• Subjects: G - Financial Economics > G1 - General Financial Markets > G10 - General; E - Macroeconomics and Monetary Economics > E4 - Money and Interest Rates

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