Publication: Accommodationists versus structuralists : some empirical evidence from Spain (1987-98)
Loading...
Files
Official URL
Full text at PDC
Publication Date
1999
Authors
Advisors (or tutors)
Editors
Journal Title
Journal ISSN
Volume Title
Publisher
Facultad de Ciencias Económicas y Empresariales. Decanato
Citations
Exportar
Abstract
The main purpose of the study is to test empirically the theoretical controversy between the so-called "accommodationist" and "structuralist" approaches in the context of the endogenous money hypothesis. The former is usually summarised as stating that the determination of the money supply is essentially both credit-driven and demand- determined. The information used for empirical testing corresponds to monetary time series data from the Spanish economy covering the period 1987-1998. It thus encompasses the period which stretches from the complete liberalisation of commercial banks deposit and lending rates in Spain up to the passing over of monetary policy management from the Bank of Spain to the European Central Bank. Direct Granger causality tests are then run between the monetary base, various money multipliers (using the M1, M2 and M3 definitions) and bank lending to the non-bank private sector for the period considered. Overall the results lend strong support for the structuralist approach since Granger causality is found to run predominantly from bank lending to the monetary base (and thus banks´ reserves) and the various money multipliers.
Description
UCM subjects
Unesco subjects
Keywords
Citation
Davidson, R. and Mackinnon, J.G. (1993); Estimation and Inference in Econometrics, Oxford University Press.
Franses, P.H. (1998); Time series models for business and economic forecasting, Cambridge University Press.
Granger, C.W.J. (1969); "Investigating Causal Relationships by Econometric Models and Cross Spectral Methods," Econometrica, 37, pp. 425-435.
Granger, C.W.J. and Newbold, P. (1974); "Spurious Regressions in Econometrics", Journal of Econometrics, 2, pp. 111-120.
Hendry, D.F. and Doornik, J.A. (1999); Empirical Econometric Modelling Using PcGive, 2nd edition, Timberlake Consultants.
Howells, P. and Bain, K. (1998); The Economics of Money, Banking and Finance, Addison Wesley Longman Limited.
Johnston, J. and DiNardo, J. (1997); Econometric Methods, 4th edition, McGraw-Hill.
Lavoie, M. (1996); "Horizontalism, Structuralism, Liquidity Preference and the Principle of Increasing Risk," Scottish Journal of Political Economy, Vol. 43, No. 3, August.
Maddala, G.S. and Kim, In-Moo (1998); Unit Roots, Cointegration and Structural Change, Cambrigde University Press.
Moore, B.J. (1988); Horizontalists and Verticalists: The Macroeconomics of Credit Money. New York: Cambridge University Press.
Moore, B.J. (1991); "Money supply endogeneity: "reserve price setting" or "reserve quantity setting"?," Journal of Post Keynesian Economics, Spring, Vol. 13, No. 3.
Moore, B.J. (1998); "Accommodation to accommodationism: a note," Journal of Post Keynesian Economics, Fall, Vol. 21, No. 1.
Palley, T. (1991); "The endogenous money supply: consensus and disagreement," Journal of Post Keynesian Economics, Spring, Vol. 13, No. 3.
Palley, T. (1996a); "Accommodationism versus structuralism: time for an accommodation," Journal of Post Keynesian Economics, Summer, Vol. 18, No. 4.
Palley, T. (1996b); Post Keynesian Economics. Debt, Distribution and the Macro Economy, Macmillan.
Palley, T. (1998); "Accommodationism, structuralism, and superstructuralism," Journal of Post Keynesian Economics, Fall, Vol. 21, No. 1.
Phillips, P.C.B. (1986); "Understanding Spurious Regressions in Econometrics", Journal of Econometrics, 33, p. 311-340.
Pollin, R. (1991); "Two theories of money supply endogeneity: some empirical evidence," Journal of Post Keynesian Economics, Spring, Vol. 13, No. 3.
Pollin, R. (1996); "Money Supply Endogeneity: What are the Questions and Why do they Matter?," in G. Deleplace and E.J. Nell (eds.), Money in Motion: The Post Keynesian and Circulation Approaches, Macmillan.
Rodríguez Sáiz, L., Parejo Gámir, J.A., Cuervo García, A., and Calvo Bernardino, A. (1996); Manual de Sistema Financiero Español, Editorial Ariel.
Rousseas, S. (1992); Post Keynesian Monetary Economics, 2nd edition, Armonk NY: M.E. Sharpe.
Servicio de Estudios del Banco de España (1997); La política monetaria y la inflación en España, Banco de España, Alianza Editorial.