This stu dy constructs measures of aggregate price uncertainty for four countries (Canada , West Germany, Great Britain, and the United States) and examines the relationship across countries and through time between the inflation rate, inflation variability, and measures of price uncertainty....

Possible indeterminacy of the price level, when the nominal interest rate is arbitrarily set at some level, is of interest in monetary theory. This paper reexamines this issue within a stochastic macromodel, considering both a "pure" interest rate peg and an interest rate peg as the limiting...

A simple economy is modeled to mimic certain basic characteristics of a monetary economy with agents who trade with one another. The analysis focuses on the way bank reserves affect the return and risk associated with bank investments and how this return and risk affects the extent of trading...