Siddiki, Jalal and Morrissey, Oliver (2006) Capital inflows and the demand for money in South Asian countries. (Discussion Paper) Kingston upon Thames, U.K. : Faculty of Arts and Social Sciences, Kingston University. 32 p. (Economics Discussion Paper)
Abstract
The aim of this paper is to estimate the real demand for money in three South Asian countries - Bangladesh, India and Pakistan - allowing for the possible effect of foreign exchange inflows (which have tended to increase in recent years). As identifying the stability of estimated elasticities is an important concern, we employ cointegration analyses allowing for structural breaks.
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