Semi-non-parametric estimates of substitution for Canadian monetary assets.

We estimate the dynamic Fourier expenditure system to obtain consistent estimates of short-run and long-run Morishima elasticities of substitution for Canadian liquid assets. We argue that the variability of the estimated elasticities and evidence of less than perfect substitution between monetary a...

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Detalles Bibliográficos
Publicado en:Canadian Journal of Economics Vol. 35; no. 1; pp. 78 - 92
Autores principales: Fleissig, Adrian R., Serletis, Apostolos
Formato: Artículo
Publicado: Wiley-Blackwell February 2002
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Acceso en línea:Ver este registro en EBSCOhost
Descripción
Sumario:We estimate the dynamic Fourier expenditure system to obtain consistent estimates of short-run and long-run Morishima elasticities of substitution for Canadian liquid assets. We argue that the variability of the estimated elasticities and evidence of less than perfect substitution between monetary assets interferes with the successful use of simple-sum aggregates and traditional log-linear money-demand functions. Reprinted by permission of the publisher.