Does the Money Endogeneity Theory of Post-Keynesian Economics Apply in Frontier Emerging Markets? The Case of Saudi Arabia

摘要: This study analyses the importance of Saudi Arabia’s banking sector in monetary transmission process. Data is segmented into pre and post financial crisis, methodology centered using autoregressive distributed lag model to test for long run relationships. Findings over whole sample testing suggest bank deposits loans are important factors process, reinforcing money endogeneity theory post-Keynesian economics. However, when tested robustness crisis periods, only factor be significantly related repo rate periods. Real GDP Exchange used as control variables adjust inflation foreign shocks, tend have significant positive relationships with run, period.