Lars Jonung
Professor emeritus
Institutional change and the velocity of money : A century of evidence
Författare
Summary, in English
We study common features in the income velocity of money, income, and interest rates for Canada, the U.S., the U.K., Sweden and Norway using annual data from 1870. The recently developed and refined techniques of testing for cointegration are employed.
The evidence suggests there is a unique long-run relationship in velocity but not in income and interest rates. Moreover, we find that only a model which includes institutional change proxies is properly specified. We argue that the evidence is best interpreted in the context of common historical developments in the respective countries' financial systems.
The evidence suggests there is a unique long-run relationship in velocity but not in income and interest rates. Moreover, we find that only a model which includes institutional change proxies is properly specified. We argue that the evidence is best interpreted in the context of common historical developments in the respective countries' financial systems.
Publiceringsår
1997-10
Språk
Engelska
Sidor
710-724
Publikation/Tidskrift/Serie
Economic Inquiry
Volym
35
Issue
4
Länkar
Dokumenttyp
Artikel i tidskrift
Förlag
Wiley-Blackwell
Ämne
- Economic History
Nyckelord
- E41
- N2
- O11
Status
Published
ISBN/ISSN/Övrigt
- ISSN: 1465-7295