MONETARY POLICY TRANSMISSION AND FINANCIAL STABILITY SYSTEM BEFORE AND DURING COVID-19 IN EMERGING MARKET COUNTRIES
This study aims to effectively analyze the contribution of variables to Monetary Policy Transmission and Financial Stability Before and During Covid-19 in Emerging Markets Countries. This type of research uses secondary data or time series, namely from 2010 to 2021 and monthly data from 2020 to 2021. The data analysis model in this study is the ARDL Panel model and the different test methods with SPSS 26. The results of the ARDL Panel show that on a panel basis, it turns out that the money supply can also be a leading indicator for controlling China, Russia, Brazil, Turkey, and Egypt. Still, its position is not stable in the short run. The leading indicators of the effectiveness of variables in controlling the stability of 7 emerging market countries, namely money demand and Investment, are seen from the short-run and long-run equilibrium, where the money demand variable is good in the long term and significantly in controlling economic stability. The results of the analysis of the different test methods are known that in China, only the SB variable has significant changes in the period before and during covid-19. In India and Russia, the variable that has a substantial change in the period before and during COVID-19 is the GDP variable. The country of Indonesia had significant changes in the period before and during the Covid-19 period, namely 3 SB variables, GDP, and Inflation. The last two countries are Turkey and Egypt; the variable that significantly changes the period before and during COVID-19 is GDP.
Covid-19, Financial Stability and Monetary Policy Transmission.