Author

Simona Rahi

Date of Award

2019

Document Type

Thesis

Degree Name

Bachelors

Department

Social Sciences

First Advisor

Khemraj, Tarron

Area of Concentration

Economics

Abstract

This thesis estimates the international interest rate pass-through in the context of a specific country, Lebanon, by focusing on the loan market. The pass-through from policy rates to retail rates is examined in light of the transmission from the U.S. Treasury Bill rate to the retail rates in Lebanon. The general empirical framework used in this paper is an Autoregressive Distributed Lag (ARDL) model to examine the long-run and short-run estimates of the pass-through. Another part of the thesis is looking at the asymmetric behavior of the lending rates in Lebanon and analyzing what these results unravel about the loan market in both the domestic Lebanese pound currency and the pegged dollar currency.

Share

COinS