Abstract
For the period starting with the floating of the US dollar we find evidence that long-run stationarity of the demand function for M2 (but not M1) requires inclusion of the effective exchange rate. These results lend some support to McKinnon's hypothesis that nonstationarity in the demand for money can be resolved by inclusion of the exchange rate. (JEL F41, E41).
Full Text 
Sign-in/Register to access full text options
Sign-in/Register to access full text options 
Paper version not known
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
