Work

Modelling money demand: further evidence from an international comparison

Year: 2013

Type: article

Abstract: This article aims at estimating money demand for the euro area, the United States and the United Kingdom using a Dynamic Ordinary Least Squares (DOLS) estimator. Our findings show that (1) wealth effects on money demand are important in the euro area and the United Kingdom; (2) the impact of changes in the interest rate on real money holdings is negative and small; (3) goods are a reasonable alternative to money and (4) international currency substitution has a major influence on the behaviour of real money demand in the United Kingdom.

Source: Applied Economics Letters

DOI: 10.1080/13504851.2012.758835

Authors: Fredj Jawadi, Ricardo M. Sousa

Institutions: France Business School, Université d'Évry Val-d'Essonne, London School of Economics and Political Science, University of Minho

Language: English

Topic: Monetary Policy and Economic Impact

Subfield: General Economics, Econometrics and Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

Open Access status: green

OpenAlex ID: W2095529007

FWCI: 14.64

Cites: 27

Cited by: 24

Related to: 10