The Impact of Monetary Policy on Algerian Economic Activity

Radia Benziane

doi:doi:10.11648/j.jbed.20190401.13

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The Impact of Monetary Policy on Algerian Economic Activity

Radia Benziane

Published in Journal of Business and Economic Development (Volume 4, Issue 1)

Received: 18 February 2019 Accepted: 20 March 2019 Published: 6 May 2019

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Abstract

This study investigated the role of monetary policy in financing economic activity in Algeria during the period 1990-2017 using quarterly data. The application of the VAR model has shown the negligible effect of credit and interest rate on gross domestic product. On the other hand, it appears a more significant positive effect of the real money supply. The modest contribution of the financial system to economic growth could be attributed to the excess of liquidity and the weak development of the financial system, the Algerian capital markets are nascent, the lengthy administrative procedures and the lack of competition in the banking sector.

Published in	Journal of Business and Economic Development (Volume 4, Issue 1)
DOI	10.11648/j.jbed.20190401.13
Page(s)	15-22
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2019. Published by Science Publishing Group

Keywords

Monetary Policy, Economic Growth, Credits, Interest Rate

References

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APA Style

Radia Benziane. (2019). The Impact of Monetary Policy on Algerian Economic Activity. Journal of Business and Economic Development, 4(1), 15-22. https://doi.org/10.11648/j.jbed.20190401.13

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Radia Benziane. The Impact of Monetary Policy on Algerian Economic Activity. J. Bus. Econ. Dev. 2019, 4(1), 15-22. doi: 10.11648/j.jbed.20190401.13

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AMA Style

Radia Benziane. The Impact of Monetary Policy on Algerian Economic Activity. J Bus Econ Dev. 2019;4(1):15-22. doi: 10.11648/j.jbed.20190401.13

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@article{10.11648/j.jbed.20190401.13,
  author = {Radia Benziane},
  title = {The Impact of Monetary Policy on Algerian Economic Activity},
  journal = {Journal of Business and Economic Development},
  volume = {4},
  number = {1},
  pages = {15-22},
  doi = {10.11648/j.jbed.20190401.13},
  url = {https://doi.org/10.11648/j.jbed.20190401.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jbed.20190401.13},
  abstract = {This study investigated the role of monetary policy in financing economic activity in Algeria during the period 1990-2017 using quarterly data. The application of the VAR model has shown the negligible effect of credit and interest rate on gross domestic product. On the other hand, it appears a more significant positive effect of the real money supply. The modest contribution of the financial system to economic growth could be attributed to the excess of liquidity and the weak development of the financial system, the Algerian capital markets are nascent, the lengthy administrative procedures and the lack of competition in the banking sector.},
 year = {2019}
}

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TY  - JOUR
T1  - The Impact of Monetary Policy on Algerian Economic Activity
AU  - Radia Benziane
Y1  - 2019/05/06
PY  - 2019
N1  - https://doi.org/10.11648/j.jbed.20190401.13
DO  - 10.11648/j.jbed.20190401.13
T2  - Journal of Business and Economic Development
JF  - Journal of Business and Economic Development
JO  - Journal of Business and Economic Development
SP  - 15
EP  - 22
PB  - Science Publishing Group
SN  - 2637-3874
UR  - https://doi.org/10.11648/j.jbed.20190401.13
AB  - This study investigated the role of monetary policy in financing economic activity in Algeria during the period 1990-2017 using quarterly data. The application of the VAR model has shown the negligible effect of credit and interest rate on gross domestic product. On the other hand, it appears a more significant positive effect of the real money supply. The modest contribution of the financial system to economic growth could be attributed to the excess of liquidity and the weak development of the financial system, the Algerian capital markets are nascent, the lengthy administrative procedures and the lack of competition in the banking sector.
VL  - 4
IS  - 1
ER  -

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Author Information

Radia Benziane

Faculty of Economics, Business and Management Sciences, University of Algiers, Algiers, Algeria

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APA Style

Radia Benziane. (2019). The Impact of Monetary Policy on Algerian Economic Activity. Journal of Business and Economic Development, 4(1), 15-22. https://doi.org/10.11648/j.jbed.20190401.13

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ACS Style

Radia Benziane. The Impact of Monetary Policy on Algerian Economic Activity. J. Bus. Econ. Dev. 2019, 4(1), 15-22. doi: 10.11648/j.jbed.20190401.13

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AMA Style

Radia Benziane. The Impact of Monetary Policy on Algerian Economic Activity. J Bus Econ Dev. 2019;4(1):15-22. doi: 10.11648/j.jbed.20190401.13

Copy | Download

@article{10.11648/j.jbed.20190401.13,
  author = {Radia Benziane},
  title = {The Impact of Monetary Policy on Algerian Economic Activity},
  journal = {Journal of Business and Economic Development},
  volume = {4},
  number = {1},
  pages = {15-22},
  doi = {10.11648/j.jbed.20190401.13},
  url = {https://doi.org/10.11648/j.jbed.20190401.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jbed.20190401.13},
  abstract = {This study investigated the role of monetary policy in financing economic activity in Algeria during the period 1990-2017 using quarterly data. The application of the VAR model has shown the negligible effect of credit and interest rate on gross domestic product. On the other hand, it appears a more significant positive effect of the real money supply. The modest contribution of the financial system to economic growth could be attributed to the excess of liquidity and the weak development of the financial system, the Algerian capital markets are nascent, the lengthy administrative procedures and the lack of competition in the banking sector.},
 year = {2019}
}

Copy | Download

TY  - JOUR
T1  - The Impact of Monetary Policy on Algerian Economic Activity
AU  - Radia Benziane
Y1  - 2019/05/06
PY  - 2019
N1  - https://doi.org/10.11648/j.jbed.20190401.13
DO  - 10.11648/j.jbed.20190401.13
T2  - Journal of Business and Economic Development
JF  - Journal of Business and Economic Development
JO  - Journal of Business and Economic Development
SP  - 15
EP  - 22
PB  - Science Publishing Group
SN  - 2637-3874
UR  - https://doi.org/10.11648/j.jbed.20190401.13
AB  - This study investigated the role of monetary policy in financing economic activity in Algeria during the period 1990-2017 using quarterly data. The application of the VAR model has shown the negligible effect of credit and interest rate on gross domestic product. On the other hand, it appears a more significant positive effect of the real money supply. The modest contribution of the financial system to economic growth could be attributed to the excess of liquidity and the weak development of the financial system, the Algerian capital markets are nascent, the lengthy administrative procedures and the lack of competition in the banking sector.
VL  - 4
IS  - 1
ER  -

Copy | Download