The Demand for Money (2^nd Ed., 2nd ed. 2007)
Theoretical and Empirical Approaches

This is the most comprehensive textbook available on the money demand function and its role in modern macroeconomics. The book takes a microeconomic- and aggregation-theoretic approach to the topic and presents empirical evidence using state-of-the-art econometric methodology, while recognizing the existence of unsolved problems and the need for further developments. The new edition is fully revised and includes new chapters.

Apostolos Serletis is University Professor and Professor of Economics and Finance at the University of Calgary. Since receiving his Ph.D. from McMaster University in 1984, he has held visiting appointments at the University of Texas at Austin, the Athens University of Economics and Business, and the Research Department of the Federal Reserve Bank of St. Louis.

Professor Serletis’ teaching and research focus on monetary and financial economics, macroeconometrics, and nonlinear and complex dynamics. He is the author of eight books, including The Theory of Monetary Aggregation, co-edited with William A. Barnett (Elsevier 2000), Financial Markets and Institutions: First Canadian Edition, with Frederic S. Mishkin and Stanley G. Eakins (Addison Wesley 2004), Money and the Economy (World Scientific 2006), The Economics of Money, Banking, and Financial Markets: Third Canadian Edition, with Frederic S. Mishkin (Addison Wesley 2007), Functional Structure Inference, co-edited with William A. Barnett (Elsevier 2007), and Quantitative and Empirical Analysis of Energy Markets (World Scientific 2007).

In addition, he has published close to 150 articles in such journals as the Journal of Economic Literature, the Journal of Monetary Economics, the Journal of Money, Credit and Banking, the Journal of Econometrics, the Canadian Journal of Economics, the Journal of Economic Dynamics and Control, the Journal of Business and Economic Statistics, the Journal of Banking and Finance, the Journal of Applied Econometrics, and Macroeconomic Dynamics.

Professor Serletis is an Associate Editor of Macroeconomic Dynamics and a member of the editorial board at two academic journals, the Journal of Economic Asymmetries and the Journal of Economic Studies. He lives in Calgary, with his wife Aglaia.

Increased coverage of theoretical and empirical approaches to the demand for money, including a new chapter on cross-country evidence

A new chapter on money demand issues and estimation of the welfare cost of inflation using tools from public finance and applied microeconomics

A new chapter on rational expectations macroeconomics and issues such as the Lucas critique, rules versus discretion in monetary policymaking, and time inconsistency

Increased coverage of the univariate and multivariate properties of the money demand variables, nonlinear chaotic dynamics, and self-organized criticality

Revised coverage of monetary asset demand systems based on locally flexible functional forms such as the translog, generalized Leontief, almost ideal demand system, Minflex Laurent, and the Normalized Quadratic reciprocal indirect utility function

Revised coverage of monetary asset demand systems based on globally flexible functional forms such as the Fourier and the Asymptotically Ideal Model

Increased coverage of the econometrics of demand systems highlighting the challenge inherent with achieving both economic and econometric regularity

A chapter with suggestions for potentially productive future research

Includes supplementary material: sn.pub/extras