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On the feasibility of a monetary union in the Southern Africa Development Community

Temisan Agbeyegbe ()

International Journal of Finance & Economics, 2008, vol. 13, issue 2, 150-157

Abstract: This paper investigates the feasibility of a monetary union in Southern Africa Development Community (SADC) by looking at evidence of nominal exchange rate and inflation convergence. Using a methodology based on estimating time-varying parameters, the evidence suggests non-convergence. The non-convergence of nominal exchange rate and consumer price inflation suggests that presently the chances of SADC member countries satisfying some form of Maastricht-type criteria is quite low. Copyright © 2007 John Wiley & Sons, Ltd.

Date: 2008
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International Journal of Finance & Economics is currently edited by Mark P. Taylor, Keith Cuthbertson and Michael P. Dooley

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