Is Quantity Theory Still Alive
Bibliographic Data
| ID | 9720669 |
|---|---|
| Authors | Pedro Teles (0000-0001-7969-1403, Banco de Portugal, Universidade Catolica Portuguesa and CEPR), Harald Uhlig (0000-0003-0918-032X, University of Chicago, NBER and CEPR), João Valle e Azevedo (0000-0002-3538-3860, Banco de Portugal and Nova School of Business and Economics) |
| Year | 2016 |
| Volume | 126 |
| Issue | 591 |
| Pages | 442-464 |
| Publication date | 2016-03-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | The Economic Journal (JOURNAL) |
| Journal identifiers | ISSN: 0013-0133 • E-ISSN: 1468-0297 |
| Publisher | Oxford University Press (OUP) (PUBLISHER) |
| DOI | 10.1111/ecoj.12336 |
| OpenAlex | W2140016587 |
| Language | EN |
| Citations received | 2 |
| References cited | 35 |
This article investigates whether the quantity theory of money is still alive. We demonstrate three insights. First, for countries with low inflation, the raw relationship between average inflation and the growth rate of money is tenuous at best. Second, the fit markedly improves, when correcting for variation in output growth and the opportunity cost of money, using elasticities implied by the theories of Baumol–Tobin and Miller–Orr. Finally, a subsample characterised by the adoption of inflation targeting shows considerably less inflation variability, worsening the fit of a one‐for‐one relationship between money growth and inflation
Econometrics · Economics · Inflation (cosmology · Keynesian economics · Macroeconomics · Miller · Monetary economics · Monetary policy · Quantity theory of money · Real interest rate · Economic theories and models · Economic Theory and Policy · Monetary Policy and Economic Impact
Critical Values for Cointegration Tests in Heterogeneous Panels with Multiple Regressors
Testing for stationarity in heterogeneous panel data
A Comparative Study of Unit Root Tests with Panel Data and a New Simple Test
The local power of some unit root tests for panel data
Fully modified OLS for heterogeneous cointegrated panels
The Transactions Demand for Cash
Linear Regression Limit Theory for Nonstationary Panel Data
Cointegration Vector Estimation by Panel Dols and Long‐run Money Demand
Unit root tests for panel data
On the estimation and inference of a cointegrated regression in panel data
Unit root tests in panel data
Testing for unit roots in heterogeneous panels
Panel Cointegration
Spurious regression and residual-based tests for cointegration in panel data
The Interest-Elasticity of Transactions Demand For Cash
Purchasing Power Parity Tests in Cointegrated Panels
The Welfare Cost of Inflationary Finance
The Demand for Money, Financial Innovation, and the Welfare Cost of Inflation
Nobel Lecture
| Unique citing works | 2 |
|---|---|
| Citations per year | 0,25 |
| Citation span | 2018 - 2024 (7) |
| Citation velocity | recent |
| Highly cited | No |
| Citation types | Neutral: 2 |