Economics, Econometrics and Finance
6 years ago

Global financial crisis impact on Vietnam money demand stability revealed.

Studies in computational intelligence
Stability of Vietnam Money Demand Function: An Empirical Application of Multiple Testing with a Structural Break
Bui Quang Hien, Pham Dinh Long

Paper Summary

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The article examines changes in Vietnam's money demand from 2003 to 2017, focusing on the impact of the 2008 global financial crisis. The study finds that narrow money demand remained stable before and after the crisis, but there are doubts about the stability of broad money demand. The researchers suggest that omitting important variables could lead to unstable money demand functions.