Money Price Relationship under the Currency Board System: The Case of Argentina

Abstract

In this study, the endogenous money hypothesis is examined for the Argentinean economy employing exogeneity tests by using monthly data for the time period 1991-2001 within the frame of money and price relationship in a Currency Board-like system. Empirical results support the hypothesis which suggests that money supply is endogenous.Currency Board, Argentina, Money Supply Endogeneity, Exogeneity Test