A dynamic singular equation system of asset demand
The paper presents estimates of a dynamic demand system of the AIDS type for financial assets. The results suggest that dynamic behavior plays a major role in determining asset demand. Estimates on the basis of the equivalent static equilibrium models prove to be clearly inferior statistically. Also, the theoretical restrictions of homogeneity and symmetry are thoroughly rejected by the static model versions, however, not by the dynamic demand system. The cross rate elasticities between bonds and savings deposits and also between money and time deposits are found to be negligible for Germany. Time deposits turn out to be very sensitive to own and cross rates of return.
Year of publication: |
1986
|
---|---|
Authors: | Zietz, Joachim ; Weichert, Ronald |
Institutions: | Institut für Weltwirtschaft (IfW) |
Saved in:
freely available
Saved in favorites
Similar items by person
-
Das Verhalten der privaten Haushalte am Kapitalmarkt: Eine empirirische Analyse
Weichert, Ronald, (1986)
-
Der big bang in London und seine Konsequenzen für den deutschen Wertpapierhandel
Weichert, Ronald, (1987)
-
Mehr Risikokapital durch Erleichterung des Börsenzugangs für Unternehmen
Weichert, Ronald, (1985)
- More ...