IDEAS home Printed from https://ideas.repec.org/a/mes/jpneco/v35y2008i3p87-117.html
   My bibliography  Save this article

An Empirical Study on Long-Run Neutrality of Money in the Japanese Economy

Author

Listed:
  • Jahanur Rahman
  • Toshihisa Toyoda

Abstract

Previous tests of the long-run neutrality of money hypothesis have generally relied on seasonally adjusted data and overlooked the important issues of seasonality. This article analyzes the long-run neutrality of money in Japan using quarterly seasonally unadjusted data, which permit an examination of the effects of seasonality and the robustness of previous empirical results. Fisher and Seater (1993) methodology is used with both seasonally unadjusted and adjusted Japanese real gross domestic product and nominal money supply to test the long-run neutrality of money hypothesis. Using two measures of money stock, namely, M1 and M2, it is shown that the hypothesis is supported using M2 as the measure of money supply, while it is rejected using M1.

Suggested Citation

  • Jahanur Rahman & Toshihisa Toyoda, 2008. "An Empirical Study on Long-Run Neutrality of Money in the Japanese Economy," Japanese Economy, Taylor & Francis Journals, vol. 35(3), pages 87-117.
  • Handle: RePEc:mes:jpneco:v:35:y:2008:i:3:p:87-117
    DOI: 10.2753/JES1097-203X350304
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.2753/JES1097-203X350304
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.2753/JES1097-203X350304?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wong, Soon-Ming & Loi, Siew-Ling, 2016. "Money Influence on Real Economy Activity: Evidences Review on Japanese Context," MPRA Paper 73559, University Library of Munich, Germany.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:jpneco:v:35:y:2008:i:3:p:87-117. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MJES19 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.