{
  "title": "Monetary Policy in Transition: The Case of Mongolia",
  "publication": "IMF Working Papers, January 1, 2000",
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  "summary": "This paper analyzes monetary policy in transition. It examines the dynamics of monetary policy in Mongolia using granger-causality tests for monetary variables and inflation. The paper also analyzes money demand using data from 22 Mongolian regions during 1993-1998.",
  "sections": [
    {
      "heading": "Summary",
      "content": "- The paper analyzes monetary policy in transition using Mongolia as a case study.\n- Methodology includes Granger-causality tests for monetary variables and inflation, and money demand analysis using data from 22 Mongolian regions during 1993-1998.\n- Core conclusion: monetary policy plays a key role in stabilization; even in a rudimentary transition economy like Mongolia, a stable money demand and a predictable relationship between inflation and monetary variables exist, implying market-based monetary policy is effective.\n- Additional conclusion: there is a difference between transition and industrial economies in the elasticity of money demand with respect to activity, reflecting a larger role for transactions demand for money."
    },
    {
      "heading": "Empirical approach and data",
      "content": "- Granger-causality tests applied to monetary variables and inflation.\n- Money demand estimation based on regional data: 22 Mongolian regions, sample period 1993-1998."
    },
    {
      "heading": "Key findings",
      "content": "- Monetary policy has a key role in stabilization in Mongolia.\n- A stable money demand exists in Mongolia during the sample period.\n- A predictable relationship between inflation and monetary variables is present.\n- Market-based monetary policy is effective in a transition economy context.\n- The elasticity of money demand with respect to activity differs from industrial economies, indicating:\n  - A larger role for transactions demand for money in transition economies."
    },
    {
      "heading": "Policy implications and recommendations",
      "content": "- Support market-based monetary policy frameworks in transition economies, given observed stability in money demand and predictable inflation-monetary variable relationships.\n- Account for differences in money demand elasticities when designing policy: higher transactions demand implies different sensitivity of monetary aggregates to activity compared with industrial economies.\n\n---\n\n Content in this bundle\n\n- Monetary Policy in Transition: The Case of Mongolia - WP/00/21\n  - Monetary Policy in Transition: The Case of Mongolia - WP/00/21 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Monetary Policy in Transition: The Case of Mongolia - WP/00/21 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/30/monetary-policy-in-transition-the-case-of-mongolia-3426"
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    "Authors: Torsten M Sloek",
    "Published: January 1, 2000",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451843903.001",
    "The paper analyzes monetary policy in transition using Mongolia as a case study.",
    "Methodology includes Granger-causality tests for monetary variables and inflation, and money demand analysis using data from 22 Mongolian regions during 1993-1998.",
    "Core conclusion: monetary policy plays a key role in stabilization; even in a rudimentary transition economy like Mongolia, a stable money demand and a predictable relationship between inflation and monetary variables exist, implying market-based monetary policy is effective.",
    "Additional conclusion: there is a difference between transition and industrial economies in the elasticity of money demand with respect to activity, reflecting a larger role for transactions demand for money.",
    "Granger-causality tests applied to monetary variables and inflation.",
    "Money demand estimation based on regional data: 22 Mongolian regions, sample period 1993-1998.",
    "Monetary policy has a key role in stabilization in Mongolia.",
    "A stable money demand exists in Mongolia during the sample period.",
    "A predictable relationship between inflation and monetary variables is present.",
    "Market-based monetary policy is effective in a transition economy context.",
    "The elasticity of money demand with respect to activity differs from industrial economies, indicating:",
    "Support market-based monetary policy frameworks in transition economies, given observed stability in money demand and predictable inflation-monetary variable relationships.",
    "Account for differences in money demand elasticities when designing policy: higher transactions demand implies different sensitivity of monetary aggregates to activity compared with industrial economies.",
    "**Monetary Policy in Transition: The Case of Mongolia - WP/00/21**"
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