Poland edged towards hyperinflation towards the latter half of 1989,but inflation fell dramatically after drastic … reformswere enacted in January of 1990. We analyse the consistency betweenfiscal deficits and inflation targets and assess Poland … fiscal deficits and inflation. We also assessthe impact of financial sector measures on seignioragerevenue and the …

Macroeconomic theory postulates that fiscal deficits cause inflation. Yet empirical research has had limited success in … incorporates two key features of the theory. Unlike previous studies, we model inflation as nonlinearly related to fiscal deficits … through the inflation tax base and estimate this relationship as intrinsically dynamic, using panel techniques that explicitly …