Corpus ID: 59017744

Estimating the Causal Relationship among the Short-Term Interest Rate, the Inflation Rate, and the Budget Deficit based on Three-Variable VAR Models with MWALD Test for Causality in the Case of Canada

@inproceedings{Xing2016EstimatingTC,
  title={Estimating the Causal Relationship among the Short-Term Interest Rate, the Inflation Rate, and the Budget Deficit based on Three-Variable VAR Models with MWALD Test for Causality in the Case of Canada},
  author={Kai Xing},
  year={2016}
}
This study examines the possible existing causal relationship among the short-term interest rate, inflation rate and budget deficit in their level logarithmic form. First, it summarizes a body of theoretical and empirical views about these relationships. Second, it investigates the causal relationships among the short-term interest rate, inflation rate and budget deficit by using the VAR models with the MWALD test for causality associated with two lag variables in each proposition. The data in… Expand

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