TY  - JOUR
AU  - Portes,Richard
AU  - Santorum,Anita
TI  - Money and the Consumption Goods Market in China
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 2143
PY  - 1988
Y2  - October 1988
UR  - http://www.nber.org/papers/w2143
L1  - http://www.nber.org/papers/w2143.pdf
N1  - Author contact info:
Richard Portes
London Business School
Regent's Park
London NW1 4SA
UNITED KINGDOM
Tel: 44 (0)  20 7000 8424
Fax:  44 (0) 20 7000 8401
E-Mail: rportes@london.edu
AB  - This paper studies the relations between money and other macroeconomic variables as well as excess demand in the consumption goods market for the case of China, 1954-83. We explicitly recognize the endogeneity of money in the CPE and do not impose (but instead test) some common restrictive assumptions; we assess the extent of aggregate excess demand (supply) in a macroeconomic disequilibrium model; and we allow at the macro level for the possible coexistence of micro markets in different states of excess demand or supply (shortages or slacks). We find bidirectional causality between money and income; that M[sub0] behaves in a manner more suited to building simple, conventional models than does M[sub 2]; and that there has been a mixed pattern of excess supplies and demands over the three decades.
ER  -