The M2 Demand in Japan: Shifted and Unstable?

Tomoo Yoshida and Robert Rasche
Additional contact information
Tomoo Yoshida: Research Division 1, Institute for Monetary and Economic Studies, Bank of Japan

Monetary and Economic Studies, 1990, vol. 8, issue 2, 9-30

Abstract: This paper investigates the stability of M2 demand in Japan using the statistical technique recently developed by Johansen (1988) and Johansen and Juselius (1989). Long-run equilibrium money demand function is identified and estimated along with the fourvariable vector error correction model (VECM). The results strongly suggests that the function shifted upwards - while leaving the income elasticity unchanged - in mid-1985, when the interest rates on large time deposits were deregulated.

Date: 1990
References: Add references at CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://www.imes.boj.or.jp/research/papers/english/me8-2-2.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ime:imemes:v:8:y:1990:i:2:p:9-30

Access Statistics for this article

More articles in Monetary and Economic Studies from Institute for Monetary and Economic Studies, Bank of Japan Contact information at EDIRC.
Bibliographic data for series maintained by Kinken ().