Detail publikace

Liquidity supply and money velocity co-movements in the Eurozone – Time-Frequency Domain Approach

Originální název

Liquidity supply and money velocity co-movements in the Eurozone – Time-Frequency Domain Approach

Anglický název

Liquidity supply and money velocity co-movements in the Eurozone – Time-Frequency Domain Approach

Jazyk

en

Originální abstrakt

The authors focus on financial stability in the Eurozone and propose indicator for macro-prudential policy. The empirical part of the paper applies wavelet analysis to identifiy cyclical movements in money velocity and liquidity supply. The cospectrum shows significant co-movements between 6-16 periods. The authors conclude that increase of money velocity supports financial markets to provide provide more credits. A pro-cyclical influence results in a boom which is then followed by a bust is task for macro-prudential policy and anti-cyclical instruments. Identificator based on the money velocity movements has potential function to identify instability pressures at the money market in huge monetary unions with large financial systems, where upper limit of credit money creation is vanished.

Anglický abstrakt

The authors focus on financial stability in the Eurozone and propose indicator for macro-prudential policy. The empirical part of the paper applies wavelet analysis to identifiy cyclical movements in money velocity and liquidity supply. The cospectrum shows significant co-movements between 6-16 periods. The authors conclude that increase of money velocity supports financial markets to provide provide more credits. A pro-cyclical influence results in a boom which is then followed by a bust is task for macro-prudential policy and anti-cyclical instruments. Identificator based on the money velocity movements has potential function to identify instability pressures at the money market in huge monetary unions with large financial systems, where upper limit of credit money creation is vanished.

BibTex


@article{BUT94763,
  author="Svatopluk {Kapounek} and Jitka {Poměnková}",
  title="Liquidity supply and money velocity co-movements in the Eurozone – Time-Frequency Domain Approach",
  annote="The authors focus on financial stability in the Eurozone and propose indicator for macro-prudential policy. The empirical part of the paper applies wavelet analysis to identifiy cyclical movements in money velocity and liquidity supply. The cospectrum shows significant co-movements between 6-16 periods. The authors conclude that increase of money velocity supports financial markets to provide provide more credits. A pro-cyclical influence results in a boom which is then followed by a bust is task for macro-prudential policy and anti-cyclical instruments. Identificator based on the money velocity movements has potential function to identify instability pressures at the money market in huge monetary unions with large financial systems, where upper limit of credit money creation is vanished.",
  address="Mendelu v Brně",
  chapter="94763",
  institution="Mendelu v Brně",
  number="2",
  volume="2012 (LX)",
  year="2012",
  month="may",
  pages="109--116",
  publisher="Mendelu v Brně",
  type="journal article"
}