Error-correction based panel estimates of the demand for money of selected Asian countries with the extreme bounds analysis

► Extreme bounds analysis is used to analyze the demand for money functions. ► Cointegration is tested with a panel error correction method. ► Data for 17 Asian countries over the period 1970-2009 have been utilized. ► The results show that there is a well-defined long-run demand for money. ► Our paper offers useful methodological guidelines.