Abstract
The relation between the demand for money balances and its determinants is a fundamental building block in most theories of macroeconomic behaviour and is a critical component in the formulation of monetary policy. Indeed, a stable demand function for money has long been perceived as a prerequisite for the use of monetary aggregates in the conduct of policy. Not surprisingly, then, the demand for money has been subjected to extensive empirical scrutiny.
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Goldfeld, S.M. (2018). Demand for Money: Empirical Studies. In: The New Palgrave Dictionary of Economics. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-349-95189-5_117
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DOI: https://doi.org/10.1057/978-1-349-95189-5_117
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