estimation of modified cagan money demand function with exogenous shocks in iran economy

Estimation of Money Demand Function in Iran Including Households Religious Costs: A NARDL Approach

Money demand determinants vary in every economy. There are many studies about Iran money demand function, which employed different variables and estimation methods. In this study, broad money (M2) is dependent variable and GDP, interest rate, exchange rate and household religious costs are descriptive variables. Household religious costs (urban and rural) are included in Iran money demand funct...

Estimation Of The Demand For Money In Iran

Money Demand in a Banking Time Economy

The paper presents a theory of the demand for money that combines a special case of the shopping time exchange economy with the cash-in-advance framework. The model predicts that both higher inflation and financial innovation that reduces the cost of credit induce agents to substitute away from money towards exchange credit. This results in an interest elasticity of money that rises with the in...

estimation of the demand for money in iran

money demand in an interest free economy

the objective of this study is to derive a money demand function compatible with the islamic economic rules, i.e., prohibition of reba. this rule, evidently eliminates the loan market from the economy.therefore, we propose that the islamic financial markets could link the real and nominal sectors of the economy and provide the information needed by both the financial intermediaries and the cent...

Behavioral Pattern of Income Velocity of Money and Estimation of Its Function (The case of Iran)

Based on the “Aggregate Demand” theory, monetary policies are designed with the aim of achieving desirable level of macroeconomic goals through affecting the stock of money supplyand income velocity of money. Thus, the velocity (V)-as well as money supply - has significant impact, particularly on rate of inflation through expansionary or contractionary monetary policy. To focus on the velocity ...