Berriel, Rafael; Gonzalez-Aguado, Eugenia; Kehoe, Patrick J. - National Bureau of Economic Research - 2023
their expenditures with nominal debt and inflation has a negative impact on aggregate productivity. If the monetary … authority can commit to an inflation policy, then a version of Oates (1972)'s decentralization result holds. By contrast, when …. Because country-level fiscal authorities do not take into account the costs to other countries of the inflation that their …