BPEA | 1976 No. 3

The Case of the Missing Money

1976, No. 3

THE RELATION between the demand for money balances and its determinants
is a fundamental building block in most theories of macroeconomic behavior.S ince it is also a critical component in the formulation of
monetary policy, it is not surprising that the money-demand functionh as
been subjected to extensive empirical scrutiny.