IS THE PRICE ELASTICITY OF MONEY DEMAND ALWAYS UNITY?

"Including both monetary gold and nonmonetary gold in a standard money-in-utility model, we establish a presumption that the price elasticity of money demand should be less than 1 under commodity standards. Applying cointegration methods to data of the world, the United Kingdom, and the United States, we find support for the new theory. "("JEL "E41, E42) Copyright (c) 2008 Western Economic Association International.

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Year of publication:	2008
Authors:	EVANS, PAUL ; WANG, XIAOJUN
Published in:	Economic Inquiry. - Western Economic Association International - WEAI, ISSN 0095-2583. - Vol. 46.2008, 4, p. 587-592
Publisher:	Western Economic Association International - WEAI

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Extent:	text/html
Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005295308