Most estimates of the welfare costs of in ation are devised considering only noninterest- bearing assets, ignoring that since the 80 s technological innovations and new regu- lations have increased the liquidity of interest-bearing deposits. We investigate the resulting bias. Su¢ cient and...

Fischer (1979) and Asako (1983) analyze the sign of the correlation between the growth rate of money and the rate of capital accumulation on the transition path. Both plug a CRRA utility (based on a Cobb-Douglas and a Leontief function, respectively) into Sidrauski's model - yet return...