Economics, Econometrics and Finance
8 years ago

Money supply changes directly impact real sector variables in Spanish economy.

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Advanced studies in theoretical and applied econometrics
Causal Relationships between Money and Income in the Spanish Economy
Antonio Aznar, F. Javier Trívez

Paper Summary

The article explores how changes in the amount of money in the Spanish economy can impact real sector variables like income. Different models have been suggested, with some considering the influence of money illusion on the relationship between nominal (in name only) and real (actual) variables.

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