The Demand for Money: Theoretical and Empirical Approaches

ISBN-13: 9780387717265 / Angielski / Twarda / 2007 / 382 str.

Apostolos Serletis

Opis

Almost half a century has elapsed since the demand for money began to attract widespread attention from economists and econometricians, and it has been a topic of ongoing controversy and research ever since. Interest in the topic stemmed from three principal sources. Firstofall, therewasthematter oftheinternaldynamicsofmacr- conomics, to which Harry Johnson drew attention in his 1971 Ely Lecture on The Keynesian Revolution and the Monetarist Counter- Revolution, American Economic Review 61 (May 1971). The main lesson about money that had been drawn from the so-called Key- sian Revolution was rightly or wrongly that it didn t matter all that much. The inherited wisdom that undergraduates absorbed in the 1950s was that macroeconomics was above all about the determination of income and employment, that the critical factors here were saving and investment decisions, and that monetary factors, to the extent that they mattered at all, only had an in?uence on these all important variables through a rather narrow range of market interest rates. C- ventional wisdom never goes unchallenged in economics, except where its creators manage to control access to graduate schools and the jo- nals, anditiswithnocynicalintentthatIcon?rmJohnson ssuggestion that those of us who embarked on academic careers in the 60s found in this wisdom a ready-made target."

Spis treści

Preface.- Foreword.- Introduction.- Classical Macroeconomc Theory.- Keynesian Macroeconomic Theory.- Dynamic Optimization Methods in Discrete Time.- Neoclassical Growth Theory.- Monetary Growth Theory.- The Demand for Money and the Welfare Cost of Inflation.- The Classics, Keynes, and Friedman.- Transactions Theories of Money Demand.- Portfolio Theories of Money Demand.- Conventional Money Demand Functions.- Modeling Trends.- Cointegration and the Demand for Money.- Balanced Growth and the Demand for Money.- Cross Country Evidence.- Microeconomic Foundations.- The New Monetary Aggregates.- Nominal Stylized Facts.- The Nonparametric Approach to Demand Analysis.- The Parametric Approach to Demand Analysis.- Locally Flexible Functional Forms and Demand Systems.- Globally flexible Functional Forms and Demand Systems.- The Econometrics of Demand Systems.- Applied Monetary Demand Analysis.- Future Research Agenda.- References.- Author Index.- Topic Index.

O autorze

Apostolos Serletis is University Professor and Professor of Economics and Finance at the University of Calgary. Since receiving his Ph.D. from McMaster University in 1984, he has held visiting appointments at the University of Texas at Austin, the Athens University of Economics and Business, and the Research Department of the Federal Reserve Bank of St. Louis.

Professor Serletis’ teaching and research focus on monetary and financial economics, macroeconometrics, and nonlinear and complex dynamics. He is the author of eight books, including The Theory of Monetary Aggregation, co-edited with William A. Barnett (Elsevier 2000), Financial Markets and Institutions: First Canadian Edition, with Frederic S. Mishkin and Stanley G. Eakins (Addison Wesley 2004), Money and the Economy (World Scientific 2006), The Economics of Money, Banking, and Financial Markets: Third Canadian Edition, with Frederic S. Mishkin (Addison Wesley 2007), Functional Structure Inference, co-edited with William A. Barnett (Elsevier 2007), and Quantitative and Empirical Analysis of Energy Markets (World Scientific 2007).

In addition, he has published close to 150 articles in such journals as the Journal of Economic Literature, the Journal of Monetary Economics, the Journal of Money, Credit and Banking, the Journal of Econometrics, the Canadian Journal of Economics, the Journal of Economic Dynamics and Control, the Journal of Business and Economic Statistics, the Journal of Banking and Finance, the Journal of Applied Econometrics, and Macroeconomic Dynamics.

Professor Serletis is an Associate Editor of Macroeconomic Dynamics and a member of the editorial board at two academic journals, the Journal of Economic Asymmetries and the Journal of Economic Studies. He lives in Calgary, with his wife Aglaia.

Blurb

The Demand for Money:

Theoretical and Empirical Approaches

2^nd Edition

by Apostolos Serletis

This book provides an account of the existing literature on the demand for money. It shows how the money demand function fits into static and dynamic macroeconomic analyses and discusses the problem of the definition (aggregation) of money. Professor Serletis takes a microeconomic- and aggregation-theoretic approach to the demand for money, presents empirical evidence using recent state-of-the-art econometric methodology, and recognizes the existence of unsolved problems and the need for further developments.

New to this Edition

• increased coverage of theoretical and empirical approaches to the demand for money, including a new chapter on cross-country evidence
• a new chapter on money demand issues and estimation of the welfare cost of inflation using tools from public finance and applied microeconomics
• a new chapter on rational expectations macroeconomics and issues such as the Lucas critique, rules versus discretion, and time inconsistency
• increased coverage of the univariate and multivariate properties of the money demand variables, nonlinear chaotic dynamics, and self-organized criticality
• revised coverage of monetary asset demand systems based on locally and globally flexible functional forms
• increased coverage of the econometrics of demand systems highlighting the challenge inherent with achieving both economic and econometric regularity

"This new edition of The Demand for Money contains the tools and the direction needed for future productive advances in monetary economics. There is no clearer or more comprehensive road map to the field's "high road" research."

-William A. Barnett, Oswald Distinguished Professor of Macroeconomics, University of Kansas, and Editor of the journal, Macroeconomic Dynamics

"The second edition contains new theoretical and empirical results on the theory of the demand for money. Serletis expands on the base that he created in his first edition. New results on the estimation of flexible monetary asset demand systems are included in this edition as well as new time series econometric techniques. This book is a significant contribution to macroeconomics, and provides a basis for graduate students from which they can start their own research."

-Melvin J. Hinich, Department of Government & Department of Economics, The University of Texas at Austin