The relationship between inflation and the relative variability of prices has been the subject of careful investigation in the United States using data for product groups at the city level. Yet in Europe, where the relationship could have profound effects on the viability of monetary...

This paper considers the functional relationship between relative price variability (RPV) and inflation using quarterly personal consumer expenditure data in the US over 1967(I)-2003(I), deriving some implications for monetary policy. Non-parametric regression techniques are used to explore the...

The determination of long-run aggregate supply is a feature which short-run models of macroeconomic policy coordination tend to neglect but which has implications for the setting of interest rates. In this paper, the authors develop an open-economy model of output maximization, where investment...

The Macroeconomics of International Currencies examines both the theoretical and empirical consequences of currency substitution and assesses its importance for policy debates. The editors have brought together contributors with international reputations in the field who have the knowledge and...

Celebrating the contribution that Charles Goodhart has made to monetary economics and policy, this unique compendium of original papers draws together a highly respected group of international academics, central bankers and financial market regulators covering a broad range of issues in modern...

Monetary policy in the major industrial countries has largely been a success story in recent years. This two-volume set includes previously published papers by Nobel Laureates, central bankers and leading research economists. The key advances in recent thinking that underpin modern monetary...

This paper investigates the interactions between investment, money holding and bank borrowing by private non-financial corporations (PNFCs). Long-run relationships are identified for investment, money and borrowing, and the dynamics indicate the existence of feedbacks from money and credit...