central banks' monetary policy must be credible if the authorities want to curb inflation. A second view is that central banks … set their monetary policy by using all the information relevant for inflation and output projections. In Europe, a … controversy has emerged about the role of monetary aggregates as useful indicators of future inflation and output. On one hand …

monetary theory and policy, with a Wicksellian filiation. In fact both the dimensions are strongly connected by a common way …

constraints give rise to an heterogeneity in money demand, leading to a real effect of inflation. Secondly, we show that inflation … the United States. Thirdly, we find that the average welfare cost of inflation is much smaller compared to a complete … market economy, and that inflation induces important redistributive effects across households. …