Fractional Cointegration and Aggregate Money Demand Functions.

A study was conducted to explore aggregate money demand relationships in Canada, Germany, Japan, the U.S., and Britain by way of a two-step strategy for testing the null hypothesis of no conintegration against alternatives that are fractionally cointegrated. Findings revealed that the null hypothes...

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Publicado en:Manchester School (14636786) Vol. 73; no. 6; pp. 737 - 754
Autores principales: Caporale, Guglielmo Maria, Gil-Alana, Luis A.
Formato: Artículo
Publicado: Wiley-Blackwell December 2005
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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          Caporale, Guglielmo Maria
          Gil-Alana, Luis A.
      su:
        Demand for money
        Mathematical models of economics
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        subj:
          Demand for money
          Mathematical models of economics
      ab: A study was conducted to explore aggregate money demand relationships in Canada, Germany, Japan, the U.S., and Britain by way of a two-step strategy for testing the null hypothesis of no conintegration against alternatives that are fractionally cointegrated. Findings revealed that the null hypothesis could not be rejected for Japan but that there was some evidence of fractional cointegration for Canada, Germany, the U.S., and Britain, where, however, the negative income elasticity detected is not theory-consistent. Findings implied that money targeting could serve as an appropriate policy framework for monetary authorities in Canada, Germany, and the U.S. but not for authorities in Japan or Britain.
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    language: English
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