. Quantitative goals take three forms: exchange rates, money growth rates, and inflation targets. We analyse the effects on inflation … determinants of inflation (such as fiscal policy, the business cycle, and openness to international trade), and the endogeneity of … systematically and robustly associated with lower inflation. The exact form of the monetary target matters somewhat, but is less …

justified empirically. Both the relation between money and inflation, and between money and aggregate demand, are considered … monetary aggregates and inflation in no way requires a direct channel connecting money and inflation. The relevance of money …. Regarding the first relation, it is argued that both the mean and the dynamics of inflation in present-day models are governed …

money and inflation. When analysing the full sample of countries we find a strong positive relation between the long …-run inflation and money growth rate. The relation is not, however, proportional. The strong link between inflation and money growth … inflation and money growth for low inflation countries (on average less than 10% per annum over the last 30 years) is weak. We …

asset (money). We show that, even in the absence of asymmetric information or an agency problem, the private provision of … this. This distortion is present even if we introduce lending and government money. To eliminate the inefficiency the …

-neutrality; leads to a strong positive correlation between inflation and output; and contributes significantly to output volatility. We …

reduced form relationships involving money and interest rates. Geweke linear feedback measures are presented for a subset of … relationships involving money than expected, while interest rate leads, though significant, are often at long lags. In addition …, aggregate ERM money demand functions are shown to be stable. These results, though not conclusive, provide support for the case …

substantial extent by real variables, such as the terms of trade and oil prices, and nominal variables, such as the money supply …

IS-LM framework tends to understate the value of money as an indicator for monetary policy. …

We examine the role of money in three environments: the New Keynesian model with separable utility and static money …. The last two variants imply forward-looking behaviour of real money balances, with forecasts of future interest rates … estimates confirm the forward-looking character of money demand. A consequence is that real money balances are valuable in …