Intervention instruments, demand, output, and inflation

Inflation, Inflation Uncertainty and Output in Tunisia

Reply : We think that the Tunisian case is also interesting for a broad audience. Tunisia has made important progress over the last decade toward establishing a sound bank intermediation, deepening its financial market, mobilizing domestic financing, and using indirect market-based monetary policy instruments. Monetary policy is useful to obtain a stable macroeconomic environment in favor of a ...

Globalization , the Output - Inflation Tradeoff , and Inflation

Inflation, Output and Welfare

This paper studies the effects of anticipated inflation on aggregate output and welfare within a search-theoretic framework. We allow money-holders to choose the intensities with which they search for trading partners, so inflation affects the frequency of trade as well as the quantity of output produced in each trade. We consider the standard pricing mechanism for search models, i.e., ex post ...

Inflation and Output in a Cash Constrained Economy

 We examine permanent effects of monetary expansion in an economy where access to credit for financing consumption and investment is limited and consumers and firms are cash-constrained. The main difference between our model with those of Cooley-Hanson (1989) and Walsh (2003) is that investment, in addition to consumption, is subject to a cash-constraint. In this respect, our model is...

Inflation Targeting and Output Stabilisation

Glenn Stevens for helpful comments. The views expressed are those of the author, and not necessarily those of the Reserve Bank of Australia.