On the stability of money demand

• 成果类型: Article
• 署名作者: Lucas, Robert E., Jr.; Pablo Nicolini, Juan
• 署名单位: University of Chicago; Federal Reserve System - USA; Federal Reserve Bank - Minneapolis; Universidad Torcuato Di Tella
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/j.jmoneco.2015.03.005
• 发表日期: 2015
• 页码: 48-65
• 关键词: Money demand; Monetary Base

摘要

We show that regulatory changes that occurred in the banking sector in the early 1980s, that considerably weakened Regulation Q can explain the apparent instability of money demand starting in the same period. We evaluate the effects of the regulatory changes using a model that goes beyond aggregates as M1 and treats currency and different deposit types as alternative means of payments. We use the model to construct a new monetary aggregate that performs remarkably well for all the period 1915-2012. (C) 2015 Elsevier B.V. All rights reserved.