There is still debate about the role of monetary aggregates (money demand) and their nature in domestic economy, whether there a direct affect indirect affect. After 2008 crisis, became policy tool that played an important maintaining economic stability. This study aims to examine macroeconomic variables on demand for money Indonesia from 2000Q1-2021Q4 using VECM approach. The business cycle us...

The monetary base typically is defined as a measure of the money-supply "impulse" originating from the stock of high-powered, central-bank money. In addition to nonbanks' demand for hand-to-hand currency, banks have demanded base money in the United States since 1913 to satisfy two needs. One is a reserve need, to fulfill a Federal Reserve regulatory requirement. The other is an operational nee...

based on the “aggregate demand” theory, monetary policies are designed with the aim of achieving desirable level of macroeconomic goals through affecting the stock of money supplyand income velocity of money. thus, the velocity (v)-as well as money supply - has significant impact, particularly on rate of inflation through expansionary or contractionary monetary policy. to focus on the velocity ...

This paper uses a simple money demand and supply framework to estimate the impact of quantitative easing (QE) on asset prices and nominal spending. We use standard money accounting to try to establish the impact of asset purchases on broad money holdings. We show that the initial impact of £200 billion of asset purchases on the money supply was partially offset by other ‘shocks’ to the money su...

General equilibrium is investigated with N commodities deliverable at T dates traded spot and futures at 1⁄2 N 2T 3 dated commodity-pairwise trading posts. Trade is a resource-using activity recovering transaction costs through the spread between (bid) wholesale) and ask (retail) prices (pairwise rates of exchange). Budget constraints are enforced at each trading post separately implying demand...

The renewal of interest in subjectivist economics since the inid 1970s has brought with it the opportunity to apply some of its insights to various fields in econon~ics. One area that has been pursued to a significant extent has been the theory of money. Beginning with Carl Menger'sl theory of money's origin, extending through the contributions of Hutt, Rothbard, White, O'Driscoll, and Selgin2,...