| Summary: | The demand/or liabilities of trust and mortgage loan companies. Empirical demand functions for Canadian trust and mortgage loan company deposits are specified and estimated, and an institutional description is given. Deposits are disaggregated into three categories: savings deposits, which are encashable on demand, fixed-term deposits of less-than-one-year original term to maturity, and fixed-term deposits of more-than-one-year original term. Each category is found to respond to different variables with varying speeds of adjustment, although it is evident that in all three cases demand is a function of relative yields and private sector liquid wealth.
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