Graduation Year


Date of Submission


Document Type

Campus Only Senior Thesis

Degree Name

Bachelor of Arts



Reader 1

Professor Richard C. K. Burdekin


This thesis examines which factors contribute most to changes in monetary policy in different countries, and how monetary policy is related to stock market returns and industrial production recovery after a shock. First, the analysis examines a series of descriptive correlation tables and graphs illustrating monetary policy changes in relation to economic performance changes following the Covid-19 crisis, using monetary base expansion to measure changes in monetary policy, and primary stock market index returns and industrial production growth to measure changes in the real economy performance. Next, this study examines which factors contribute most to monetary policy changes across different groups of countries through a panel regression on the dependent variable of monetary base, including independent variables such as government spending, exchange rates, inflation, industrial production, covid cases, and stock market performance. In order to compare the different monetary policy reactions, the countries were divided into several subgroups to examine patterns across countries with similar economic conditions or monetary policy approaches.

This thesis is restricted to the Claremont Colleges current faculty, students, and staff.