The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function
Using the consumer theory approach as suggested by Habibullah (2009), this study aims to shed new light on monetary authority by incorporating advertising expenditure, a variable that has been neglected in the past, into study of the money demand function in Indonesia. In addition, different measure...
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| Format: | Article |
| Published: |
2013
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| Online Access: | http://ir.unimas.my/id/eprint/2147/ |
| _version_ | 1848834918089490432 |
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| author | Hiew, Lee-Chea Puah, Chin-Hong Muzafar Shah, Habibullah |
| author_facet | Hiew, Lee-Chea Puah, Chin-Hong Muzafar Shah, Habibullah |
| author_sort | Hiew, Lee-Chea |
| building | UNIMAS Institutional Repository |
| collection | Online Access |
| description | Using the consumer theory approach as suggested by Habibullah (2009), this study aims to shed new light on monetary authority by incorporating advertising expenditure, a variable that has been neglected in the past, into study of the money demand function in Indonesia. In addition, different measurements of monetary aggregates (simple-sum and Divisia money) have been used in the estimation to provide better insight into the selection of a suitable monetary policy variable for the case of Indonesia. Empirical findings from the error-correction model (ECM) indicate that the advertising expenditure variable has a significant impact on the demand for money. Furthermore, as compared to simple-sum money, the model that used Divisia monetary aggregates rendered more plausible estimation results in the estimation of money demand function. |
| first_indexed | 2025-11-15T05:59:36Z |
| format | Article |
| id | unimas-2147 |
| institution | Universiti Malaysia Sarawak |
| institution_category | Local University |
| last_indexed | 2025-11-15T05:59:36Z |
| publishDate | 2013 |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | unimas-21472016-04-14T06:58:43Z http://ir.unimas.my/id/eprint/2147/ The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function Hiew, Lee-Chea Puah, Chin-Hong Muzafar Shah, Habibullah AC Collections. Series. Collected works Using the consumer theory approach as suggested by Habibullah (2009), this study aims to shed new light on monetary authority by incorporating advertising expenditure, a variable that has been neglected in the past, into study of the money demand function in Indonesia. In addition, different measurements of monetary aggregates (simple-sum and Divisia money) have been used in the estimation to provide better insight into the selection of a suitable monetary policy variable for the case of Indonesia. Empirical findings from the error-correction model (ECM) indicate that the advertising expenditure variable has a significant impact on the demand for money. Furthermore, as compared to simple-sum money, the model that used Divisia monetary aggregates rendered more plausible estimation results in the estimation of money demand function. 2013 Article NonPeerReviewed Hiew, Lee-Chea and Puah, Chin-Hong and Muzafar Shah, Habibullah (2013) The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function. Forthcoming in : The Journal of American Academy of Business, Cambridge. |
| spellingShingle | AC Collections. Series. Collected works Hiew, Lee-Chea Puah, Chin-Hong Muzafar Shah, Habibullah The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function |
| title | The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function |
| title_full | The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function |
| title_fullStr | The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function |
| title_full_unstemmed | The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function |
| title_short | The Role of Advertising Expenditure in Measuring Indonesia’s Money Demand Function |
| title_sort | role of advertising expenditure in measuring indonesia’s money demand function |
| topic | AC Collections. Series. Collected works |
| url | http://ir.unimas.my/id/eprint/2147/ |