摘要：The increased financial disintermediation that characterizes the Malaysiaʼs financial system
since the early 1990s has contributed towards changes in the dynamics of monetary
transmission mechanism. Using quarterly data from 1980: 1 to 2005: 4, we found a greater
effectiveness of monetary policy during the pre-1990:3 period, but the post-1990:3 period poses
much difficulty for the conduct of monetary policy. Innovations in the financial market
appeared to have led to lower output variability. Further, when the real interest rate is made a
function of financial disintermediation, the real interest rate appeared to have lost its
significance in influencing real variables in the post-1990: 3 period. This study did not,
however, find evidence in support of the significance of the real interest rate in affecting real
variables through the direct financing channel via the capital market
关键词：bank lending channel, capital market, cointegration, VAR.
