Korap, Levent (2010): Testing homogeneity for real income and prices in a money demand equation: the case of Turkey. Published in: İstanbul Üniversitesi İktisat Fakültesi Maliye Araştırma Merkezi Konferansları , Vol. 53, (2010): pp. 5976.

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Abstract
In this paper, money demand models using narrowly and broadlydefined monetary aggregates have been tried to be constructed for the Turkish economy. Using some contemporaneous cointegration estimation techniques for the 19872007 period with quarterly data, our findings indicate that for the narrowlydefined monetary aggregates the unit real income elasticity assumption cannot be rejected, but no such a finding can be obtained for the unit price elasticity assumption. For the broadlydefined monetary aggregates the reverse is true, that is, the unit price elasticity assumption cannot be rejected, but we are unable to give support to the unit real income elasticity. Furthermore, we find that interest rate as an alternative cost to holding money is only statistically significant for the broad money demand equation.
Item Type:  MPRA Paper 

Original Title:  Testing homogeneity for real income and prices in a money demand equation: the case of Turkey 
English Title:  Testing homogeneity for real income and prices in a money demand equation: the case of Turkey 
Language:  English 
Keywords:  Money Demand; Prices; Real Income; Homogeneity; Turkish Economy; 
Subjects:  C  Mathematical and Quantitative Methods > C3  Multiple or Simultaneous Equation Models ; Multiple Variables > C32  TimeSeries Models ; Dynamic Quantile Regressions ; Dynamic Treatment Effect Models ; Diffusion Processes ; State Space Models E  Macroeconomics and Monetary Economics > E4  Money and Interest Rates > E41  Demand for Money 
Item ID:  30086 
Depositing User:  Levent Korap 
Date Deposited:  11 Apr 2011 12:48 
Last Modified:  29 Sep 2019 10:54 
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URI:  https://mpra.ub.unimuenchen.de/id/eprint/30086 