Monetary policy rules in Malaysia, Singapore and Thailand
This paper investigates whether monetary policies in Malaysia, Thailand and Singapore are best represented by either the Taylor rule or the augmented Taylor rule. It finds that the augmented Taylor rule, which incorporates the exchange rate and government spending, best represents monetary policies...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Bank Indonesia Institute
2020
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| Online Access: | http://psasir.upm.edu.my/id/eprint/86824/ http://psasir.upm.edu.my/id/eprint/86824/1/Monetary%20policy%20rules%20in%20Malaysia%2C%20Singapore%20.pdf |
| _version_ | 1848860296539537408 |
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| author | Tan, Chai Thing Mohamed, Azali |
| author_facet | Tan, Chai Thing Mohamed, Azali |
| author_sort | Tan, Chai Thing |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | This paper investigates whether monetary policies in Malaysia, Thailand and Singapore are best represented by either the Taylor rule or the augmented Taylor rule. It finds that the augmented Taylor rule, which incorporates the exchange rate and government spending, best represents monetary policies in these countries. The results show that past inflation and the output gap play a role in the monetary policy reaction function in Malaysia and Thailand. The results further show a strong preference towards interest rate smoothing, government spending, and the exchange rate by the central banks. |
| first_indexed | 2025-11-15T12:42:59Z |
| format | Article |
| id | upm-86824 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T12:42:59Z |
| publishDate | 2020 |
| publisher | Bank Indonesia Institute |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-868242021-10-08T08:24:52Z http://psasir.upm.edu.my/id/eprint/86824/ Monetary policy rules in Malaysia, Singapore and Thailand Tan, Chai Thing Mohamed, Azali This paper investigates whether monetary policies in Malaysia, Thailand and Singapore are best represented by either the Taylor rule or the augmented Taylor rule. It finds that the augmented Taylor rule, which incorporates the exchange rate and government spending, best represents monetary policies in these countries. The results show that past inflation and the output gap play a role in the monetary policy reaction function in Malaysia and Thailand. The results further show a strong preference towards interest rate smoothing, government spending, and the exchange rate by the central banks. Bank Indonesia Institute 2020-12-31 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/86824/1/Monetary%20policy%20rules%20in%20Malaysia%2C%20Singapore%20.pdf Tan, Chai Thing and Mohamed, Azali (2020) Monetary policy rules in Malaysia, Singapore and Thailand. Buletin Ekonomi Moneter dan Perbankan, 23 (4). 565 - 596. ISSN 1410-8046; ESSN: 2460-9196 https://www.bmeb-bi.org/index.php/BEMP/article/view/1112 10.21098/bemp.v23i4.1112 |
| spellingShingle | Tan, Chai Thing Mohamed, Azali Monetary policy rules in Malaysia, Singapore and Thailand |
| title | Monetary policy rules in Malaysia, Singapore and Thailand |
| title_full | Monetary policy rules in Malaysia, Singapore and Thailand |
| title_fullStr | Monetary policy rules in Malaysia, Singapore and Thailand |
| title_full_unstemmed | Monetary policy rules in Malaysia, Singapore and Thailand |
| title_short | Monetary policy rules in Malaysia, Singapore and Thailand |
| title_sort | monetary policy rules in malaysia, singapore and thailand |
| url | http://psasir.upm.edu.my/id/eprint/86824/ http://psasir.upm.edu.my/id/eprint/86824/ http://psasir.upm.edu.my/id/eprint/86824/ http://psasir.upm.edu.my/id/eprint/86824/1/Monetary%20policy%20rules%20in%20Malaysia%2C%20Singapore%20.pdf |