Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States

Volume: 5 Number: 1 March 1, 2015
  • Jimoh Olakunle Saka
  • Ibiyemi Ajoke Onafowokan
  • Adekunle Ademayowa Adebayo
EN

Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States

Abstract

This study examines the processes of the monetary union of the Economic Community of West African States (ECOWAS). It takes a critical look at the convergence criteria and the various conditions under which they are to be met. Using the panel least square technique an estimate of the beta convergence was made for the period 2000-2008. The findings show that nearly all the explanatory variables have indirect effects on the income growth rate and that there tends to be convergence in income over time. The speed of adjustment estimated is 0.2% per year and the half-life is -346.92. Thus the economies can make up for half of the distance that separates them from their stationary state. From the findings, it was concluded that a well integrated economy could further the achievement of steady growth in these countries in the long run.

Keywords

Details

Primary Language

English

Subjects

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Journal Section

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Authors

Jimoh Olakunle Saka This is me

Ibiyemi Ajoke Onafowokan This is me

Adekunle Ademayowa Adebayo This is me

Publication Date

March 1, 2015

Submission Date

March 1, 2015

Acceptance Date

-

Published in Issue

Year 2015 Volume: 5 Number: 1

APA
Saka, J. O., Onafowokan, I. A., & Adebayo, A. A. (2015). Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States. International Journal of Economics and Financial Issues, 5(1), 230-239. https://izlik.org/JA79ST73XZ
AMA
1.Saka JO, Onafowokan IA, Adebayo AA. Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States. IJEFI. 2015;5(1):230-239. https://izlik.org/JA79ST73XZ
Chicago
Saka, Jimoh Olakunle, Ibiyemi Ajoke Onafowokan, and Adekunle Ademayowa Adebayo. 2015. “Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States”. International Journal of Economics and Financial Issues 5 (1): 230-39. https://izlik.org/JA79ST73XZ.
EndNote
Saka JO, Onafowokan IA, Adebayo AA (March 1, 2015) Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States. International Journal of Economics and Financial Issues 5 1 230–239.
IEEE
[1]J. O. Saka, I. A. Onafowokan, and A. A. Adebayo, “Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States”, IJEFI, vol. 5, no. 1, pp. 230–239, Mar. 2015, [Online]. Available: https://izlik.org/JA79ST73XZ
ISNAD
Saka, Jimoh Olakunle - Onafowokan, Ibiyemi Ajoke - Adebayo, Adekunle Ademayowa. “Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States”. International Journal of Economics and Financial Issues 5/1 (March 1, 2015): 230-239. https://izlik.org/JA79ST73XZ.
JAMA
1.Saka JO, Onafowokan IA, Adebayo AA. Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States. IJEFI. 2015;5:230–239.
MLA
Saka, Jimoh Olakunle, et al. “Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States”. International Journal of Economics and Financial Issues, vol. 5, no. 1, Mar. 2015, pp. 230-9, https://izlik.org/JA79ST73XZ.
Vancouver
1.Jimoh Olakunle Saka, Ibiyemi Ajoke Onafowokan, Adekunle Ademayowa Adebayo. Analysis of Convergence Criteria in a Proposed Monetary Union: A Study of the Economic Community of West African States. IJEFI [Internet]. 2015 Mar. 1;5(1):230-9. Available from: https://izlik.org/JA79ST73XZ