Inflationary Expectations and the Demand for Money: The Greek Experience
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Inflationary Expectations and the Demand for Money: The Greek Experience
Brissimis, Sophocles N. | Leventakis, John A.
Credit and Capital Markets – Kredit und Kapital, Vol. 14 (1981), Iss. 4 : pp. 561–573
5 Citations (CrossRef)
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Brissimis, Sophocles N.
Leventakis, John A.
Cited By
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Inflationary Expectations and the Demand for Money: „The Greek Experience“ A Comment and Some Different Results
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The demand for money during a period of inflationary expectations. Some FIML based estimates for Greece
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https://doi.org/10.1007/BF01988280 [Citations: 0] -
“Inflationary Expectations and the Demand for Money: The Greek Experience”
Smith, Gregor W.
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Determinants of Money Demand in Greece, 1966 I – 1977 IV
Prodromidis, Kyprianos P.
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Abstract
Inflationary Expectations and the Demand for Money: The Greek Experience
Inflationary expectations are used in the demand for money function for Greece as an alternative to the interest rate opportunity cost variable. Two hypotheses as to the formation of expectations are employed and money is defined both in the narrow and broad sense. The empirical results reveal that the demand function shifted in 1964 but remained stable during the period 1973 - 78 of high inflation. The demand for Mi was found to be homogeneous in prices and real income, and independent of the demand for financial or real assets. Substitution was evidenced between M2 and time deposits and M2 and real assets. Finally it was found that individuals form their expectations in accordance with the most recent developments in the rate of inflation i.e. their expectations correspond closely to perfect foresight.