Exchange-rate uncertainty and dollarization: a structural vector error correction approach to estimating money demand
Open economy money demand functions for Singapore are estimated using quarterly data from 1973-1996. Variance decompositions derived from structural vector error correction models are used to test the effect of anticipated exchange rate movements and exchange rate uncertainty on money demand. Though no evidence was found for currency substitution and dollarization with respect to the US dollar, it was found that Singapore's money demand is affected by variations in exchange rate uncertainty with respect to the Japanese yen.
Volume (Year): 10 (2000)
Issue (Month): 6 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/RAFE20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/RAFE20|
When requesting a correction, please mention this item's handle: RePEc:taf:apfiec:v:10:y:2000:i:6:p:685-692. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)
If references are entirely missing, you can add them using this form.