Prague Economic Papers 2004, 13(1):40-54 | DOI: 10.18267/j.pep.230

On the Non-Neutrality of Money: Evidence from the 1990s

Petr Duczynski
Department of Economics and Management, Faculty of Informatics and Management, University of Hradec Králové, Víta Nejedlého 573, CZ - 500 03 Hradec Králové (e-mail: petr.duczynski@cerge-ei.cz).

The paper examines the cross-country relations between nominal money and real output between 1990 and 2000. Both high money growth rates and declines in money are connected with below-average output growth rates. The association between the monetary base and real output is weaker than between M1 (or M2) and real output. I observe no tendency of money changes to precede output changes.

Keywords: consumer prices, M1, M2, monetary base, real output
JEL classification: E32, E51

Published: January 1, 2004  Show citation

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Duczynski, P. (2004). On the Non-Neutrality of Money: Evidence from the 1990s. Prague Economic Papers, 13(1), 40-54. doi: 10.18267/j.pep.230
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