controversies surrounding the exchange rate forecastability and the absence of money in models of inflation …

, while those using GMM have reported the inflation dynamics to be predominantly forward-looking. This paper provides a …

The effects of inflation on real wage dispersion and welfare are studied in a cash-in-advance economy with a Walrasian … workers search among the posted wages. In equilibrium, a higher inflation rate reduces the dispersion in real wages. This … result is consistent with both the observed trends in wage dispersion and the inflation rate witnessed in the 1980's and the …