examination of demand of money and recognition of important factors, is one of the important problems in macroeconomic. identifying important factors that can affect demand money function, beside other economic factors, guaranty successfulness for economic policies. semblance of many studies have been carried out to specify factors affecting demand of money, indicate some scattering on choosing...

In a structural time series regression model, binary variables have been used to quantify qualitative or categorical quantitative events such as politic and economic structural breaks, regions, age groups and etc. The use of the binary dummy variables is not reasonable because the effect of an event decreases (increases) gradually over time not at once. The simple and basic idea in this paper i...

We introduce a money demand motive in a life-cycle portfolio choice model and estimate the structural parameters that can generate limited stock market participation and plausible holdings of money, bonds and stocks. The model predicts an increase in bond holdings over the life cycle, and a declining share of money in portfolios as wealth increases. Both predictions are consistent with the data...