The Stability of the M2 Demand Function: Evidence from an Error-Correction Model

Yash P. Mehra

64 citations0/0 files storedJournal of money credit and banking

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Monetary Policy and Economic Impact Banking stability, regulation, efficiency Economic theories and models

Abstract

This note presents an error-correction model of M2 demand. The Chow test indicates that the M2 demand function is stable over the sample period 1953Q1 to 1991Q2. Copyright 1993 by Ohio State University Press.

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References

1987Co-Integration and Error Correction: Representation, Estimation, and Testing 1990Inference in Linear Time Series Models with some Unit Roots 1986Understanding spurious regressions in econometrics 1988Asymptotic Normality, When Regressors Have a Unit Root 1991The Demand for Money in the United States: Evidence from Cointegration Tests 1989The Behavior of Money Demand in the 1980s

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