The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity
Purpose: Economic policymakers consistently leverage monetary policies as a pivotal factor in achieving targeted economic goals, utilizing them as an influential driver for economic growth. On one hand, the advent of modern monetary tools and the widespread adoption of electronic money and payment s...
Saved in:
| Main Authors: | , , , |
|---|---|
| Format: | Article |
| Language: | fas |
| Published: |
Ayandegan Institute of Higher Education, Tonekabon,
2024-08-01
|
| Series: | تصمیم گیری و تحقیق در عملیات |
| Subjects: | |
| Online Access: | https://www.journal-dmor.ir/article_196402_fec9185173670f174471f62ad51c1e5b.pdf |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1832577841877745664 |
|---|---|
| author | Ali Rahbar Hadi Rahmani Fazli Parviz Davoodi Hosein Samsami Mazraeh Akhond |
| author_facet | Ali Rahbar Hadi Rahmani Fazli Parviz Davoodi Hosein Samsami Mazraeh Akhond |
| author_sort | Ali Rahbar |
| collection | DOAJ |
| description | Purpose: Economic policymakers consistently leverage monetary policies as a pivotal factor in achieving targeted economic goals, utilizing them as an influential driver for economic growth. On one hand, the advent of modern monetary tools and the widespread adoption of electronic money and payment systems can significantly influence the money supply, banking reserves, monetary base, the velocity of money circulation, and the multiplier effect. This, in turn, can shadow the impact of monetary policies on economic variables such as inflation and economic growth. On the other hand, banks play a crucial role in the development, expansion, and adoption of novel payment instruments, potentially affecting macroeconomic policies and variables. Hence, this study aims to examine the impact of electronic money and innovative payment instruments on monetary aggregates, taking into account the intermediary role of banks.Methodology: Therefore, in this study, to study the subject, panel data technique, simultaneous equations, vector regression model and data from 1370 to 1398 were used.Findings: Based on the results, the expansion of electronic money and payment instruments lead to increased liquidity and inflation. Also, banks play a significant role in these variables by controlling the amount of payment instruments and innovations in them. On the other hand, the spread of e-money causes to achieve the targeted effects through exchange rate monetary policy and legal reserve rate. With less changes in these rates, but in order to achieve the goals of monetary policy applied through interest rates on account, more changes should be considered in these rates.Originality/Value: The output of this research is to provide a solution for implementing optimal monetary policy in view of the increasing use of new payment instruments and can help monetary policy makers in implementing effective policies. |
| format | Article |
| id | doaj-art-cedcfd36f2ec4b5388a9a1bafadf87b5 |
| institution | Kabale University |
| issn | 2538-5097 2676-6159 |
| language | fas |
| publishDate | 2024-08-01 |
| publisher | Ayandegan Institute of Higher Education, Tonekabon, |
| record_format | Article |
| series | تصمیم گیری و تحقیق در عملیات |
| spelling | doaj-art-cedcfd36f2ec4b5388a9a1bafadf87b52025-01-30T15:03:45ZfasAyandegan Institute of Higher Education, Tonekabon,تصمیم گیری و تحقیق در عملیات2538-50972676-61592024-08-019245346910.22105/dmor.2024.406599.1766196402The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidityAli Rahbar0Hadi Rahmani Fazli1Parviz Davoodi2Hosein Samsami Mazraeh Akhond3Faculty of Humanities, Adalat University, Tehran, Iran.Department of Political Economy and Public Policy, Faculty of Law and Political Science, Allameh Tabatabai University, Tehran, Iran.Department of Economics, Faculty of Economic and Political Sciences; Shahid Beheshti University, Tehran, Iran.Department of Economics, Faculty of Economic and Political Sciences; Shahid Beheshti University, Tehran, Iran.Purpose: Economic policymakers consistently leverage monetary policies as a pivotal factor in achieving targeted economic goals, utilizing them as an influential driver for economic growth. On one hand, the advent of modern monetary tools and the widespread adoption of electronic money and payment systems can significantly influence the money supply, banking reserves, monetary base, the velocity of money circulation, and the multiplier effect. This, in turn, can shadow the impact of monetary policies on economic variables such as inflation and economic growth. On the other hand, banks play a crucial role in the development, expansion, and adoption of novel payment instruments, potentially affecting macroeconomic policies and variables. Hence, this study aims to examine the impact of electronic money and innovative payment instruments on monetary aggregates, taking into account the intermediary role of banks.Methodology: Therefore, in this study, to study the subject, panel data technique, simultaneous equations, vector regression model and data from 1370 to 1398 were used.Findings: Based on the results, the expansion of electronic money and payment instruments lead to increased liquidity and inflation. Also, banks play a significant role in these variables by controlling the amount of payment instruments and innovations in them. On the other hand, the spread of e-money causes to achieve the targeted effects through exchange rate monetary policy and legal reserve rate. With less changes in these rates, but in order to achieve the goals of monetary policy applied through interest rates on account, more changes should be considered in these rates.Originality/Value: The output of this research is to provide a solution for implementing optimal monetary policy in view of the increasing use of new payment instruments and can help monetary policy makers in implementing effective policies.https://www.journal-dmor.ir/article_196402_fec9185173670f174471f62ad51c1e5b.pdfmonetary policysimultaneous equationsdata panel techniquevector autoregression methodelectronic money |
| spellingShingle | Ali Rahbar Hadi Rahmani Fazli Parviz Davoodi Hosein Samsami Mazraeh Akhond The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity تصمیم گیری و تحقیق در عملیات monetary policy simultaneous equations data panel technique vector autoregression method electronic money |
| title | The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity |
| title_full | The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity |
| title_fullStr | The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity |
| title_full_unstemmed | The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity |
| title_short | The effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity |
| title_sort | effect of electronic money and new payment instruments on the monetary aggregation variables and the role of banks in inflation and liquidity |
| topic | monetary policy simultaneous equations data panel technique vector autoregression method electronic money |
| url | https://www.journal-dmor.ir/article_196402_fec9185173670f174471f62ad51c1e5b.pdf |
| work_keys_str_mv | AT alirahbar theeffectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity AT hadirahmanifazli theeffectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity AT parvizdavoodi theeffectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity AT hoseinsamsamimazraehakhond theeffectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity AT alirahbar effectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity AT hadirahmanifazli effectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity AT parvizdavoodi effectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity AT hoseinsamsamimazraehakhond effectofelectronicmoneyandnewpaymentinstrumentsonthemonetaryaggregationvariablesandtheroleofbanksininflationandliquidity |