In this paper, we estimate money demand functions for Nepal employing Johansen's tri-variate Conintegration method for the period of 1974/75-2009/10. In line with the previous studies, both narrowly defined real money demand ( 1 m ) and broadly defined real money demand ( 2 m ) are found to be a...

This paper reviews recent advances in the specification and estimation of Bayesian Vector Autoregressive models (BVARs). After describing the Bayesian principle of estimation, we first present the methodology originally developed by Litterman (1986) and Doan et al. (1984) and review alternative...

This paper analyzes broad money demand (M2) in Guyana from January 1990 to September 1999; a period marked by deep transformations aimed at shifting Guyana from a centralized to a market economy. The paper develops a stable error-correction model based on a long-run cointegrating vector of money...

In this paper, we estimate money demand functions for Nepal employing Johansen's tri-variate Conintegration method for the period of 1974/75-2009/10. In line with the previous studies, both narrowly defined real money demand ( 1 m ) and broadly defined real money demand ( 2 m ) are found to be a...