Business Cycle Synchronization in Euro Area and GCC Countries: A Wavelets-GA Approach

Mustapha Djennas (), Mohamed Benbouziane () and Meriem Djennas
Additional contact information
Mustapha Djennas: Faculty of economics, University of Tlemcen, Algeria

No 772, Working Papers from Economic Research Forum

Abstract: In this paper, we use an Extreme Bound Analysis (EBA) and Wavelet Transformation (WT) to provide a detailed characterization of the business cycle synchronization among the countries under study, namely Euro Area and Gulf Cooperation Countries (GCC) countries. In addition, we introduce a Genetic Algorithm combined with wavelets transform to search for the best combinations of synchronization factors which offer an optimal solution for changing business cycles in order to achieve high levels of economic integration beween two groups of countries. The analyses are conducted by introducing the main determinants of business cycles existing in the literature in order to understand how they could elvolve both in time and in scale, depending on the different phases of the system construction. Globally, and unlike the Euro Area, the results show not only a considerable delay in creating an economic and financial integration in the GCC, but more importantly, a growing divergence in business cycles among the countries.

Pages: 62
Date: 2013-09, Revised 2013-09
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Published by The Economic Research Forum (ERF)

Downloads: (external link)
http://erf.org.eg/wp-content/uploads/2014/07/772.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://erf.org.eg/wp-content/uploads/2014/07/772.pdf [301 Moved Permanently]--> https://erf.org.eg/wp-content/uploads/2014/07/772.pdf)
http://bit.ly/2lw0a5Q (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:erg:wpaper:772

Access Statistics for this paper

More papers in Working Papers from Economic Research Forum Contact information at EDIRC.
Bibliographic data for series maintained by Namees Nabeel ().