Browsing by Author "Dedume, Samuel"

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    A simple model of the economy of Ghana
    (2009-08-08) Dedume, Samuel
    The complexities presented by today’s economies required a model approach to provide a clearer and a more reliable solution to today’s economic problems of Ghana. The research therefore approaches the above problem by constructing a simple economic model of the economy of Ghana. This was done by using the Box-Jenkins method of Time Series Analysis of system identification with data from the Bank of Ghana, Kumasi Branch, and comprising quarterly series of the main economic components of the economy of Ghana such as; Inflation, Total money supply, Interest rate, Gross Domestic Product, Capital stock, Government Expenditure, Investment, Balance of Trade and Consumption. As a result Autoregressive (AR) Models were constructed for each of the economic components. A simple economic model of the economy of Ghana in the form of a difference equation model was constructed. In addition, a homogeneous First order difference equation of the form X_(k+1)=AX_k was found to be stable at a given equilibrium. The non-homogeneous model of the economy of the form X_(k+1)=AX_k+BU_k was found to be controllable.