Is the Japanese economy in a liquidity trap?

Authors
Hondroyiannis, G Swamy, PAVB Tavlas, GS
Citation
G. Hondroyiannis et al., Is the Japanese economy in a liquidity trap?, ECON LETT, 66(1), 2000, pp. 17-23
Citations number
15
Categorie Soggetti
Economics
Journal title
ECONOMICS LETTERS
ISSN journal
01651765 → ACNP
Volume
66
Issue
1
Year of publication
2000
Pages
17 - 23
Database
ISI
SICI code
0165-1765(200001)66:1<17:ITJEIA>2.0.ZU;2-Y
Abstract
A random coefficient estimation procedure is used to estimate the time prof ile of the interest rate elasticity of Japanese money demand. Contrary to t he prediction of the liquidity trap hypothesis, the absolute value of the e lasticity is found to decline at lower levels of interest rates, (C) 2000 E lsevier Science S.A. All rights reserved.