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From the general to the specific : the demand for M2 in three European countries

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Taylor, Mark P. (1986) From the general to the specific : the demand for M2 in three European countries. Empirical Economics, 11 (4). pp. 243-261. doi:10.1007/BF01977004

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Official URL: http://dx.doi.org/10.1007/BF01977004

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Abstract

This paper examines the demand for broad money in West Germany, the Netherlands and France. We give an exposition of and apply the “general to specific” econometric modelling methodology which has been successful in modelling the demand for money in the U.K. We find stable short-run demand functions for each of the three countries examined, using a consistent data base previously published by other researchers. Each of the estimated short-run equations has a long-run or steady-state solution which is consistent with economic theory. For West Germany and the Netherlands we find long-run income elasticities of unity, which constrasts with the results of earlier studies.

Item Type: Journal Article
Divisions: Faculty of Social Sciences > Warwick Business School
Journal or Publication Title: Empirical Economics
Publisher: Springer
ISSN: 0377-7332
Official Date: 1986
Dates:
DateEvent
1986Published
Volume: 11
Number: 4
Page Range: pp. 243-261
DOI: 10.1007/BF01977004
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Restricted or Subscription Access

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