Financial instability and inequality dynamics in the waemu

• Autorzy: Thierno Thioune
• Języki publikacji: EN

Abstrakty

EN

This article assesses the effect of nancial instability on income inequality and vice versa. The methodology used in this article is based on two approaches: the construction of the synthetic index of nancial instability (SIFI) and the panel vector autoregressive (PVAR) approach. The results obtained help to explain that the disparity of income in a West African Economic and Monetary Union (WAEMU) country in each year negatively in uences the stability of the nancial sector the following year. Functions of impulse responses show that a shock to nancial stability has a negative effect on itself and leads to a stable situation after seven periods. A rise in income inequality in WAEMU countries tends to mitigate nancial instability at rst, before boosting a higher level of instability. Following this increase, inequality will decline, but at a very slow pace.(original abstract)

Słowa kluczowe

EN

Impulse Response Functions (IRF)

PL

Funkcje odpowiedzi na impuls

• Czasopismo: Econometric Research in Finance
• Rocznik: 2017
• Tom: 2
• Numer: nr 1
• Strony: 43--62

Twórcy

autor

Thierno Thioune

• University of Dakar

Bibliografia

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Identyfikatory

DOI

https://doi.org/10.33119/ERFIN.2017.2.1.3