Money, Income, Prices and Causality: The Nepalese Case

Danda Pani Paudel

in Staff Papers from South East Asian Central Banks (SEACEN) Research and Training Centre

Abstract: This paper is aimed at reviewing briefly the monetary system in Nepal and then performing empirical tests conducive to the settlement of the disputes on the direction of causality. Accordingly, the author, re-estimated the demand for money and re-examined the causal relationship between money, income and prices in the case of Nepal. He uses annual time series for different monetary aggregates, nominal and real income and prices covering the period 1963-1992.The data series were tested for their stationarity by using unit roots and cointegration techniques followed by optimum-lag-length test for causality based on Akaike's and Schwarz's information criteria. Based on the tests which he performed, he finds unidirectional causality from narrow and reserve money to income and prices.

Date: 1994
ISBN: 983-9553-47-X
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.seacen.org/GUI/pdf/publications/staff_paper/1994/SP53.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www.seacen.org/GUI/pdf/publications/staff_paper/1994/SP53.pdf [301 Moved Permanently]--> https://www.seacen.org/GUI/pdf/publications/staff_paper/1994/SP53.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:sea:spaper:sp53

Access Statistics for this book

More books in Staff Papers from South East Asian Central Banks (SEACEN) Research and Training Centre Contact information at EDIRC.
Bibliographic data for series maintained by Azharin (azharin@seacen.org).