Abstract
The details of a central bank’s monetary policy are based on assumptions about the money demand. This requires researches that aim to investigate money demand dynamics. Knowing these dynamics will support the identification of risks that may pose a threat to price stability in the long run. This study aims to analyze the changes observed in the demand for money during the last 35 years (1986-2020) in Turkey. When the analyzing period is considered as a whole in the study, it is determined that the demand for money is not stable. However, the nonlinear cointegration analysis used within the framework of soft transition models indicates that the money demand model can be divided into two different regimes with stability. In this case, it is possible to talk about the existence of a transition period in which stability is lost in the demand for money. The analyzing technique used allows the coefficients obtained for money demand to change over time according to the regime in which the economy operates. Nonlinear estimation results indicate that there is a long-term relationship between the demand for money and its macroeconomic determinants such as price level, income, interest rate, and money holding preferences of economic agents.
Highlights
Information and Communication Technology (ICT) has led to changes in production processes and business management
The results show that Vietnamese enterprises in the integration period have not managed well their resources, so the cost burden affects their competitiveness and profitability
The research data is used by the team from the “White Book on Vietnamese Businesses 2019 & 2020” released by the General Statistics Office (GSO) and "Report on assessing and ranking the readiness level for information technology (IT) development and application in Vietnam - Vietnam ICT Index" over the years from 2011 to 2018 was made by the Ministry of Information and Communications and the Vietnam Informatics Association
Summary
Information and Communication Technology (ICT) has led to changes in production processes and business management. It can be said that the strong development of social networking has changed the method and way of doing business in many different fields and industries of the enterprise and has shown the influence of ICT on the economic activity. The application of ICT in production and technological innovation to increase productivity is not a simple matter due to the limited human, resource and material resources of our country Another reason is that our country is being in a development process as well as most of the current enterprises are small and medium-sized enterprises. Research by Dang Thi Viet Duc (2019), assessing the impact of information and communication technology on Vietnam's economy through analysis, synthesis and comparative methods are used to analyze more clearly about the impact of ICT on the economy. Studying the impact of ICT on technical efficiency of businesses operating in 63 provinces nationwide plays an important role in policy review, as well as in assessing sustainable effectiveness
Sign-in/Register to view highlights & summary 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 callMore From: International Journal of Economics and Financial Research
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
