The Long-Run Stability of European Money Demand

• 영문명: The Long-Run Stability of European Money Demand
• 발행기관: 세종대학교 경제통합연구소
• 저자명: Volker Clausen Jeong-Ryeol Kim
• 간행물 정보: 『Journal of Economic Integration』제15권 제3호, 486~505쪽, 전체 20쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2000.09.30

영문 초록

The European Central Bank uses a monetary strategy which represents a combination of monetary targeting and direct inflation targeting. In this context, the stability of the long-run European money demand function is widely seen as a precondition for a strategy of monetary targeting. This paper investigates the aggregate demand for money in Europe including those countries representing the initial group in the European Monetary Union. First, we identify stable (in the sense of cointegrated) European money demand functions for M1 as well as for M3. Second, we investigate parameter constancy over time and do not find suggestive evidence of structural instability. Overall, the results provide empirical support for the European Central Bank to target a European monetary aggregate.

목차

Ⅰ.Introduction

Ⅱ.Error Correction Models of European Money Demand

Ⅲ.Tests for Long-Run Parameter Constancy

Ⅳ.Empirical Evidence

Ⅴ.Implications for the European Central Bank

키워드

Money Demand European Monetary Union Cointegration