South Africa's Monetary Policy Tames Asset Bubbles, Boosts Economic Stability
The article examines how South Africa's monetary policy affects asset prices. It looks at whether the policy tries to prevent bubbles or just cleans up after they burst. The study shows that during easy or tight monetary conditions, there is a difference in how asset prices behave compared to contractionary or expansionary conditions. The results suggest that South Africa's monetary policy leans against bubbles rather than cleaning up after them.