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The use Of Econometrics Modeling In The Study And Measurement Of The Demand For Money
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The use Of Econometrics Modeling In The Study And Measurement Of The Demand For Money
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Journal Article
The use Of Econometrics Modeling In The Study And Measurement Of The Demand For Money
2012
Overview
The demand for money is considered as one of the fundamental means of achieving economic stability through the iden¬tification and guidance of monetary policy in order to avoid dis¬tortions which can occur between demand and supply, and because it reflects the behavior of economic units and is be¬yond the control of monetary authorities, it seeks to identify vari-ables which interpreted it so that we can predict its size in future periods, thus builds its appropriate monetary policy either through creation or absorption of cash surplus. Hence, quantitative methods, including economic measurement play a funda¬mental role in structuring the phenomenon and defined it in the form of an econometric model. This study concentrates on the variables that identify the demand of money in the Algerian economic units. It has been found that on the insights of final esti-mate that demand of money in Algeria is a demand for money credit and current deposits and primarily it is determined by the real income and exchange rate variables.
Publisher
الجمعية المصرية للاقتصاد السياسي والإحصاء والتشريع
Subject
