fiscal rules are magnified by conservative monetary policies focused on inflation stabilisation only. Finally, the effects of … monetary and fiscal policies become sharper as the level of income inequality increases. …

to support the standard objection to such policies: that they will lead to uncontrollable inflation. Theoretical models … paper presents a counter-example in the activities of the Bank of Canada during the period 1935–75, when, working with the … support for a relationship between monetary financing and inflation. The findings lend support to recent calls for explicit …