Over the next 10 years a major controversy developed over whether the Federal Reserve recognized or placed enough emphasis on its responsibility for controlling the growth of the money stock. The related question of which operating strategy to follow in controlling the money stock was pushed to the background. Economists can argue at great lengths over the extent to which the Federal Reserve tr...

This paper shows that a market price of nominal risk plays an important role in the determinacy of the price of money under a stochastic continuous−time monetary economy. It is presented that a sufficient condition for the determinacy of the price of money is either an exogenously given nominal short rate or an exogenously given market price of nominal risk, which implies that a different marke...

This paper examines the effects of selected macroeconomic variables on the stock market index in Iran. Using quarterly data, we examine the relationships between the Tehran Stock Index (TSI) and five macroeconomic variables which consist of gross domestic product, nominal effective exchange rate, money supply, gold coin price and investment in housing sector from 1996:1 to 2008:1.Various e...