Abstract
Empirical results support the hypothesis that agricultural prices respond faster than manufactured product prices to a change in money supply in the United States. Sims' vector autoregression (VAR) technique was applied in examining this hypothesis. The monte-carlo integration method was used to test the significance of the impulse responses generated by the VAR technique.
| Original language | English |
|---|---|
| Pages (from-to) | 838-842 |
| Number of pages | 5 |
| Journal | American Journal of Agricultural Economics |
| Volume | 69 |
| Issue number | 4 |
| DOIs | |
| State | Published - Nov 1987 |
Keywords
- Money supply shock
- Monte-carlo test
- Relative prices
- Vector autoregression