The Impact of the U.S. and Mexican Monetary Policy on Mexican GDP and Prices
|Author:||Mgr. Lorenzo Rodríguez Hernández|
|Year:||2015 - summer|
|Leaders:|| prof. Roman Horváth Ph.D.
|Work type:|| Masters
|Awards and prizes:|
|Abstract:||The NAFTA agreement was signed in 1994 and with it came a financial liberalization
for Mexico and a stronger relationship between Mexico and the U.S. making the Latin
American country more sensitive to external shocks. This master thesis studies this
relationship between the two countries and analyzes how the monetary policies of
these two players affect Mexico, dividing the timeline and setting this event as a
breaking point. Through an empirical analysis with a block restriction this research
attempts to identify the reactions of the Mexican macroeconomic variables to the U.S.
monetary policy shocks.