INPROFORUM 2007

Modelling the aggregate demand of the SR
Tomáš Domonkos, Nora Mikušová

Language: sk
Last modified: 2014-01-23

Abstract


The analysis and prognosis of Slovakia's economic growth belong to the most frequently discussed issues of the present time. A sound economic growth is one of the basic prerequisites for the economic convergence to more developed EU countries. The date of joining the Eurozone in year 2009 raises the question if the positive economic development experienced till now will remain sustainable. For these reasons we consider it important to analyse the determinants of the development of aggregate demand in order that the architects of economic policies are in possession of quantitative instruments while making their decisions. The aim of this framework is to create a macroeconomic model which is methodologically based upon the principles of error correction models and to use it in order to generate prognosis of the aggregate demand of the Slovak Republic.


Keywords


Modelling the aggregate demand, GDP, Error correction model, ECM

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