Money supply, interest rate, liquidity and share prices: A test of their linkage

• Main Authors: Mohamed Ariff,, Chung, Tin-Fah *, Shamsher M.,
• 格式: Article
• 语言: English
• 出版: Elsevier Ltd 2012
• 主题: HB Economic Theory; HJ Public Finance
• 在线阅读: http://eprints.sunway.edu.my/159/1/Chung%20Tin%20Fah%20-%20Money%20Supply%20interest%20Rate%20Liquidity%20and%20Share%20Prices.pdf; http://eprints.sunway.edu.my/159/; http://www.sciencedirect.com/science/article/pii/S1044028312000361

This paper reports new evidence of a liquidity effect on share prices from money supply changes. Money supply impacts on interest rate and liquidity were first proposed in 1969 and there is evidence that money supply increase leads to interest rate decline. Yet the proposition that money supply incr...