Tsionas, Efthymios G.; Christopoulos, Dimitris K. - In: Bulletin of Economic Research 56 (2004) 3, pp. 251-269
The paper examines whether inflation systematically distorts the informational content of price signals. A shadow cost function is specified, and the deviation of shadow from actual prices is modeled as a function of the level of economy-wide inflation, as well as other conditioning variables...