On Transactions and Precautionary Demand for Money

Comment on Barry Friedman's Demand for Money

International Evidence on the Demand for Money

One of the current questions in the literature on she demand for money is whether the adjustment of actual lo desired money holdings is in nominal or real terms. This paper describes a simple procedure that can be used to test the nominal against the real hypothesis. The test is carried out for 27 countries. The paper also tests the svuctural stability of the demand for money equations and the ...

Financial Innovation and the Transactions Demand for Cash Financial Innovation and the Transactions Demand for Cash *

We document cash management patterns for households that are at odds with the predictions of deterministic inventory models that abstract from precautionary motives. We extend the Baumol-Tobin cash inventory model to a dynamic environment that allows for the possibility of withdrawing cash at random times at a low cost. This modification introduces a precautionary motive for holding cash and na...

Estimation Of The Demand For Money In Iran

Aggregate and Household Demand for Money :

We use data from Public Opinion Surveys on Household Financial Assets and Li-abilities from 1991 to 2002 to investigate the issues of unobserved heterogeneity amongcross-sectional units and stability of Japanese aggregate money demand function. Condi-tions that permit individual data and aggregate data to be modeled under one consistentformat are given. Alternative definitions o...