Simple Model for a Small Open Economy: An Application to the ASEAN-5 Countries
No 200801, Working Papers in Economics and Development Studies (WoPEDS) from Department of Economics, Padjadjaran University
This paper examines the suitability of a simple structural small open economy model in characterising the economic dynamics in five ASEAN economies. The model is a variant of a small open economy model with imperfect competition and nominal rigidities. It is then confronted to the data using maximum likelihood estimation. The structure of the underlying model is able to produce estimated parameters that largely capture the economic characteristics and dynamics of each of the economies in a plausible manner. It enables one to compare and contrast the behaviour of the five economies under consideration, particularly their monetary transmission mechanism. The estimation results are then used to revisit the structural shocks correlation issue in the region, and can also be used as the basis for constructing the relevant approximation for the aggregate welfare function for each of the economies.
Keywords: ASEAN; small open economy model; maximum likelihood estimation (search for similar items in EconPapers)
JEL-codes: C13 D58 E12 E17 (search for similar items in EconPapers)
Pages: 57 pages
Date: 2008-05, Revised 2008-05
New Economics Papers: this item is included in nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed
Downloads: (external link)
http://ceds.feb.unpad.ac.id/wopeds/200801.pdf First version, 2008 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://ceds.feb.unpad.ac.id/wopeds/200801.pdf [301 Moved Permanently]--> https://ceds.feb.unpad.ac.id/wopeds/200801.pdf)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:unp:wpaper:200801
Access Statistics for this paper
More papers in Working Papers in Economics and Development Studies (WoPEDS) from Department of Economics, Padjadjaran University Contact information at EDIRC.
Bibliographic data for series maintained by Arief Anshory Yusuf ().