expected inflation, which in turn, reduces the real interest rate and leads to an increase in private consumption. This paper …

This paper (i) estimates the local effects of government stimulus spending on labor market outcomes and (ii) shows how … reinforces the importance of the intensive labor margin. …

U.S. counties into local labor markets, each of which we further partition into two subregions. We then compare … differential labor market outcomes and Recovery Act spending at the regional and subregional levels using instrumental variables …

This paper revisits the issue of money growth versus the interest rate as the instrument of monetary policy. Using a … of inflation relative to money growth depends on whether the central bank follows a money growth rule or an interest rate … rule. With a money growth rule, inflation is not persistent and the price level is much more volatile than the money supply …

because of a change in its day-to-day behavior in money markets or the way it reacts to news about unemployment or real GDP …

Gavin and Kydland (1999) calculated the cyclical properties of money and prices for the periods before and after the … inflation, the lag from money growth to inflation, and lag from money growth to nominal GDP growth. Generally, the monetary …-correlations between money growth and inflation. …