On the Stability of Money Demand in Ghana : A Bounds Testing Approach

Author/Editor: Arto Kovanen ; Jihad Dagher
Publication Date: November 01, 2011
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Disclaimer: This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate
Summary: This paper adopts the bounds testing procedure developed by Pesaran et al. (2001) to test the stability of the long-run money demand for Ghana. The results provide strong evidence for the presence of a stable, well-identified long-run money demand during a period of substantial changes in the financial markets. The empirical evidence points to complex dynamics between money demand and its determinants while suggesting that deviations from the equilibrium are rather short-lived.1
Series: Working Paper No. 11/273
Subject(s): Ghana | Inflation targeting

Author's Keyword(s): Money demand | bounds testing | stability | Ghana.
Publication Date: November 01, 2011
ISBN/ISSN: 9781463925284/1018-5941 Format: Paper
Stock No: WPIEA2011273 Pages: 18
US$18.00 (Academic Rate:
US$18.00 )
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