Economics at your fingertips  

Broad money demand and financial liberalization in Greece

Sunil Sharma () and Neil Ericsson ()

Empirical Economics, 1998, vol. 23, issue 3, 417-436

Abstract: This paper develops a constant, data-coherent, equilibrium correction model for broad money demand (M3) in Greece over 1976-1994. The aggregate M3 was targeted until recently, and current monetary policy still uses such aggregates as guidelines. In spite of financial innovation, financial liberalization, and large fluctuations in the inflation rate, the estimated model is remarkably stable. Dynamics are important, with price and income elasticities being much smaller in the short run than in the long run. The model provides a better understanding of the portfolio consequences of financial innovation and the effects of monetary policy in Greece.

Keywords: Cointegration; ·; equilibrium; correction; ·; financial; innovation; ·; Greece; ·; money; demand (search for similar items in EconPapers)
JEL-codes: E41 E5 (search for similar items in EconPapers)
Date: 1998-09-01
References: Add references at CitEc
Citations: View citations in EconPapers (20) Track citations by RSS feed

Downloads: (external link) (application/pdf)
Access to the full text of the articles in this series is restricted

Related works:
Working Paper: Broad money demand and financial liberalization in Greece (1996) Downloads
Working Paper: Broad Money Demand and Financial Liberalization in Greece (1996) Downloads
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:

Ordering information: This journal article can be ordered from
http://www.springer. ... rics/journal/181/PS2

Access Statistics for this article

Empirical Economics is currently edited by Robert M. Kunst, Arthur H.O. van Soest, Bertrand Candelon, Subal C. Kumbhakar and Joakim Westerlund

More articles in Empirical Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

Page updated 2021-06-13
Handle: RePEc:spr:empeco:v:23:y:1998:i:3:p:417-436