We use Bayesian estimation techniques to investigate whether money growth Granger-causes inflation in the United States … including money growth in simple VAR models of inflation does systematically improve out-of-sample forecasting accuracy. This …. However, the contribution of money to inflation forecasting accuracy is quantitatively limited and tends to be smaller in …

We use Bayesian estimation techniques to investigate whether money growth Granger-causes inflation in the United States … including money growth in simple VAR models of inflation does systematically improve out-of-sample forecasting accuracy. This …. However, the contribution of money to inflation forecasting accuracy is quantitatively limited and tends to be smaller in …

inflation in the United States. We test for Granger-causality out-of-sample and find, perhaps surprisingly given recent … theoretical arguments, that including money growth in simple VAR models of inflation does systematically improve out … Volcker and Greenspan eras. However, the contribution of money to inflation forecasting accuracy is quantitatively limited and …