Figure 6
The image contains five line graphs showing the impulse response of various macroeconomic variables to M0 shocks over different lag periods. Each graph represents a different variable: Market Rates, Stock, Exchange Rate, CPI, and Real GDP. The x-axis for all graphs represents the years from 2006 to 2022. The y-axis represents the response magnitude for each variable. The graphs use three different lines to indicate the response at 3-period ahead (red solid line), 6-period (purple dashed line), and 12-period (green dashed line) lag periods. Panel A shows the response of Market Rates, with the y-axis ranging from -0.02 to 0.02. Panel B shows the response of Stock, with the y-axis ranging from -0.25 to 0.50. Panel C shows the response of Exchange Rate, with the y-axis ranging from -0.05 to 0.05. Panel D shows the response of CPI, with the y-axis ranging from -0.05 to 0.05. Panel E shows the response of Real GDP, with the y-axis ranging from -0.1 to 0.1.Impulse responses of the macroeconomy to M0 at different lag periods