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Money Supply and Monetary Policy in Russia: A Post-Keynesian Approach Revisited

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  • Yulia Vymyatnina

Abstract

In our paper, using Granger causality tests on data covering 1995-2011 we find that credit is an important source of money supply endogeneity in Russia, with the two distinct sources of money supply endogeneity present: the one in the sense of accommodationist approach (through state-controlled firms) and another in the sense of structuralist approach (through private sector firms), with external credit operations being an important part of it. Inflation is found to be consistently the cause, not the result of changes in the money supply. Our findings support some recommendations for the Bank of Russia and its monetary policy.

Suggested Citation

  • Yulia Vymyatnina, 2013. "Money Supply and Monetary Policy in Russia: A Post-Keynesian Approach Revisited," EUSP Department of Economics Working Paper Series 2013/04, European University at St. Petersburg, Department of Economics.
    • Handle: RePEc:eus:wpaper:ec2013_04
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    References listed on IDEAS

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    Cited by:

    1. Vadim O. Grishchenko & Alexander Mihailov & Vasily N. Tkachev, 2021. "Money Creation in Russia: Does the Money Multiplier Exist?," Economics Discussion Papers em-dp2021-15, Department of Economics, University of Reading.

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    More about this item

    Keywords

    post-Keynesian economics; endogenous money supply; inflation; Russia;
    All these keywords.

    JEL classification:

    • E51 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Money Supply; Credit; Money Multipliers
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E61 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Policy Objectives; Policy Designs and Consistency; Policy Coordination

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