Our paper studies the relationship between money growth and consumer price inflation in the euro area using wavelet … analysis. Wavelet analysis allows to account for variations in the money growth-inflation relationship both across the … frequency spectrum and across time. We find evidence of strong comovements between money growth and inflation at low frequencies …

revisit claims in the literature that money growth is Granger-causal for inflation at low frequencies. Applying frequency …-specific tests in a comprehensive system setup for euro-area data we consider various theoretical predictors of inflation. A general … Granger-causal for low-frequency inflation movements, and all variables affect money growth. We therefore interpret opposite …

, we demonstrate that effort dampens the response of inflation to exogenous shocks. …

that the boom was unusually long and associated with neither particularly strong growth nor rising inflation in the … economic theory and argue that, while the ‘global savings glut’ may account for the cycle’s initial phase, other factors such …