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Current studies discussed the impact of the Covid-19 pandemic on the money demand, consumption, manufacturing, and investment in the economies of emerging market economies
Current studies discussed the impact of the Covid-19 pandemic on the money demand, consumption, manufacturing, and investment in the economies of emerging market economies and the influence of monetary policies of the central banks in curtailing the impact of the pandemic. Suppose you are interested in studying the determinants of money. You plan to use the following model: In M = Bo + BlnINCOME+BDIR + u where M= demand broad money (in Ringgit Malaysia), INCOME= gross domestic product (in Ringgit Malaysia), DIR= deposit interest rate (in %), In-natural logarithm You run the regression for t=37, and obtain the following results: Dependent Variable: InM Sample: 1980 2016 Included observations: 37 Variable DIR InINCOME C R-squared Adjusted R-squared S.E. of regression Sum squared resid Log likelihood F-statistic Prob(F-statistic) Coefficient Std. Error t-Statistic 0.015980 -1.942257 0.060136 27.31149 1.667350 -10.35747 0.981015 Mean dependent var 26.47326 Mean InINCOME 26.72883 Mean DIR 0.052310 Akaike info criterion -0.746724 Schwarz criterion -0.616109 -0.700677 1.043789 0.160237 0.872977 16.81440 878.4514 Hannan-Quinn criter. Prob. 0.0604 0.0000 0.0000 0.000000 Durbin-Watson stat cov (B, B) = 0.0012
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