We study models incorporating money, household production, and investment in housing. Inflation, as a tax on market … activity, encourages substitution into household production, and thus investment in household capital. Hence, inflation … the channel is economically relevant. We also show models with home production imply higher costs of inflation than models …

The classical and early neoclassical economists knew that the essential function of money was its role as a medium of … economics: the interaction between specialization and exchange, dual fiat currency regimes, the welfare improving role of money …

A price dispersion equation is tested with data from the German hyper-inflation. The equation is derived from a version … magnitude of the unperceived money growth. The testing of this hypothesis requires two preliminary steps. First, a price … unperceived money growth. This estimation implies the postulation of an available information set and also a function relating the …

We formulate a generalization of the traditional medium-of-exchange function of money in contexts where there is … that the option to settle transactions directly with money strengthens the stance of sellers of goods and services vis … "latent money demand" considerations imply monetary policy remains effective through medium-of-exchange channels even if the …

countries with low inflation, the raw relationship between average inflation and the growth rate of money is tenuous at best … variability, worsening the fit of a one-for-one relationship between money growth and inflation, and generates a fairly low …This paper investigates whether the quantity theory of money is still alive. We demonstrate three insights. First, for …

financial systems around the world. The database provides information on financial systems in 205 economies over the period from …