The analysis of the monetary policy dynamics in Romania using a Structural Vector Autoregressive model

Abstract

The present study aims at an econometric investigation oriented toward the estimation of the monetary policy dynamics in Romania, using a model based on the Autoregressive Structural Vector, imposing some restrictions on short term for knowing the response functions of the main macroeconomic variables at various economic shocks. Section I contains an argumentation of using the SVAR model. Sections 2 and 3 present the elaboration conditions of the SVAR model for the economy of Romania and the obtained results, and the last section comprises the conclusions.monetary policy dynamics, Romanian SVAR model, econometric investigation