15.1 In the 1970s a common practice was to estimate a distributed lag model relating changes in...
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15.1 In the 1970s a common practice was to estimate a distributed lag model relating changes in nominal gross domestic product (Y) to current and past changes in the money supply (X). Under what assumptions will this regression estimate the causal effects of money on nominal GDP? Are these assumptions likely to be satisfied in a modern economy like that of the United States?
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Related Book For
Introduction To Econometrics
ISBN: 9781292071367
3rd Global Edition
Authors: James Stock, Mark Watson
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