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government spending triggers inflation, taxes have the opposite effect. This is consistent with Keynesian theory. Money supply … exchange rate while continuous inflation lowers it. …
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into account leads to ambiguous effects w.r.t. to the impact of capital as well as inflation risk, thus contradicting … rolling-window dynamic multiplier analysis using the error-correction framework for the U.S. economy between 1978q1 to 2013q4 …. The results reveal that U.S. households increase their demand for money in response to positive changes in inflation and …
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