Effectiveness of monetary policy in Algeria During the period (2000 - June 2015): An analytical study
Journal Title: مجلة البشائر الاقتصادية - Year 2017, Vol 3, Issue 1
Abstract
This study seeks to examine theeffectiveness of monetary policy in Algeria during the period (2000-June 2015), by using an analytical and critical approach, which included the legal framework analysis of monetary policy in the first section, and the evaluation of their effectiveness in practice to achieve price stability, in the second section. The study found that the legal framework of monetary policy in this period did not benefit from the evolution in the monetary domain and its applications in several countries, and the Bank of Algeria’s control of the monetary base is very limited, and therefore the money supply as an intermediate target; this makes the evolution of inflation rates are not related only to monetary policy, but rather are related to other factors. The credit rationing and prudent fiscal policy are the important factors that contribute to the absorption of liquidity and participate to achieve price stability.
Authors and Affiliations
Chelghoum Amirouche
Keywords
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