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Seminar paper from the year 2016 in the subject Business economics - Economic Policy, grade: A, , course: MONETARY ECONOMIC THEORY, language: English, abstract: To reconcile the lack of consensus on the appropriate concept of money in Nigeria using a 45 year time series data from 1970 - 2014 and employing the Ordinary Least Squares (OLS) estimation techniques to estimate two equations for both monetary aggregates (M1 and M2). Findings shows that the principal explanatory variable (GDP) on both models has a positive and significant impact on both monetary aggregates, but the impact was more felt in the broad money supply measure (M2). It was concluded that the broad money supply measure defines the appropriate concept of money in Nigeria.
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