The paper is structured as following in section a simple theoretical model is outlined, and it is found that an independent central bank should reduce (or eliminate) the inflation bias, but should increase output variability. in the following section empirical evidence consistent with the ida...

There is a long literature examining the theoretical relationships between the rate of inflation and the size of the capital stock in an economy. This literature has produced varied predictions about the effects of inflation on the capital stock. In this paper, we present some new empirical...

Statistical agencies are faced with a difficult measurement problem when tax reforms change consumer prices. Such reforms can affect measures of inflation and hence measures of welfare. It is suggested that instead of attempting to adjust the consumer price index (CPI) afetr tax reform, it is...