A Toolkit to Assess the Consistency Between Real Sector and Financial Sector Forecasts /

e develop a toolkit to assess the consistency between real sector and financial sector forecasts. The toolkit draws upon empirical regularities on real sector and financial sector outcomes for 182 economies from 1980 to 2015. We show that credit growth is positively correlated with real sector perfo...

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Bibliographic Details
Main Author: Chen, Sophia
Other Authors: Ganum, Paola, Rabanal, Pau
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2017.
Series:Technical Notes and Manuals; Technical Notes and Manuals ; No. 2017/009
Online Access:Full text available on IMF
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245 1 2 |a A Toolkit to Assess the Consistency Between Real Sector and Financial Sector Forecasts /  |c Sophia Chen, Paola Ganum, Pau Rabanal. 
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490 1 |a Technical Notes and Manuals 
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500 |a <strong>On-Campus Access:</strong> No User ID or Password Required 
506 |a Electronic access restricted to authorized BRAC University faculty, staff and students 
520 3 |a e develop a toolkit to assess the consistency between real sector and financial sector forecasts. The toolkit draws upon empirical regularities on real sector and financial sector outcomes for 182 economies from 1980 to 2015. We show that credit growth is positively correlated with real sector performance, in particular when credit growth is unusually high or low. However, the relationship between credit growth and inflation is weak. These results hold for different country groups, including advanced economies, emerging markets and low-income countries. Combining credit growth with other variables such as house prices and the output gap helps to understand real sector outcomes. But including the financial account balance does not make a difference. 
538 |a Mode of access: Internet 
700 1 |a Ganum, Paola. 
700 1 |a Rabanal, Pau. 
830 0 |a Technical Notes and Manuals; Technical Notes and Manuals ;  |v No. 2017/009 
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