This paper reviews theory and evidence of the welfare effects of inflation from a costbenefit perspective. Basic models … and selected empirical results are discussed. Historically, in assessing the welfare effects of inflation, the distortion … of money demand played a prominent role. More recently, interactions of inflation and taxation came into focus. Growth …

interpreted, first and foremost, as a commitment device. In our setting, a monetary target helps anchoring inflation and inflation … well as a strong response to deviations of inflation from target and to the activity growth gap. In contrast, the response …

interpreted, first and foremost, as a commitment device. In our setting, a monetary target helps anchoring inflation and inflation … well as a strong response to deviations of inflation from target and to the activity growth gap. In contrast, the response …

countries with low inflation, the raw relationship between average inflation and the growth rate of money is tenuous at best … elasticities implied by theories of Baumol-Tobin and Miller-Orr. Finally, the sample after 1990 shows considerably less inflation … variability, worsening the fit of a one-for-one relationship between money growth and inflation, and generates a fairly low …

The paper proposes two econometric models of inflation for Azerbaijan: one based on monthly data and eclectic, another … based on quarterly data and takes into account disequilibrium at the money market. Inflation regression based on monthly … data showed that consumer prices dynamics is explained by money growth (the more money, the higher the inflation), exchange …

We construct inflation pressure indicators based on the long-run relationship that exists between monetary aggregates … determinants considering its long-run coefficients. Our results indicate that monetary policy has been congruent with the inflation …