paper proposes an "inflation uncertainty theory" in providing theoretical justification and empirical validity as to why … French civil-law countries have higher levels of financial allocation efficiency. Inflation uncertainty, typical of floating …

-specific measures, particularly since the start of EMU, and is useful to predict country-specific inflation. However, it generally does … not encompass country-specific money overhang measures as predictors of inflation. Hence, aggregate money overhang is an …