There are basicly two views answering the question of how money is created: according to exogenous hypothesis economic theory central banks have full control over stock in markets and other policy instruments; whereas endogenous postulates created by credit demand actors . Demand for credits turn arises from production process, triggered changes costs, a rise nominal wages. This paper aims anal...

This study aims to investigate whether money supply behaviour in Egypt is exogenously or endogenously determined using data from 2004 2019. It identify the determinants of and most important tools used by central bank manage it. The employs Johansen-Juselius test (1990) examine long-run error correction model short-run determinants. We conclude that real GDP, discount rate, budget deficit, net ...

This paper examines the role of collateralized money supply for short-run macroeconomic effects of monetary policy. We apply a simple sticky price model, where the central bank supplies money in exchange for securities that are discounted with the nominal interest rate. The central assumption is that only government bonds are eligible as collateral. If they are dominated in rate of return by pr...