There is a broad consensus among economists that, in the long run, inflation is a monetary phenomenon. However, monetary policy is often analysed using models that have no causal role for monetary aggregates in the propagation of inflationary processes. Moreover, impulses from monetary policy...

This paper studies the relationship among monetary policy, income (GDP) and prices in the short-run as well as in the long-run in Bangladesh. In this paper, we use an alternate econometric technique, the Autoregressive Distributed Lag (ADL) approach, which has numerous advantages. This approach...