Velocity and the variability of anticipated and unanticipated money growth: A cross-country comparison

Gerald J. Lynch, Bradley T. Ewing

Research output: Contribution to journalArticle

3 Scopus citations


This paper uses a Granger causality test to determine if increased instability in the money supply of a country leads to a decline in velocity in that country. This research adds two new dimensions to the literature in this area. First, monetary growth is decomposed into anticipated and unanticipated components. Second, we extend the study to all of the G- 7 countries. Our empirical results support the existence of a relationship between monetary instability and velocity growth in the G- 7 countries.

Original languageEnglish
Pages (from-to)444-448
Number of pages5
JournalApplied Economics Letters
Issue number11
StatePublished - Nov 1 1995


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