this paper examines the idea that the rate of inflation tends to increase nominal government expenditures faster than government revenues. it concludes that while government expenditures rise concurrently with inflation, real government revenues tend to fall based on collection tags. empirical results using time series data for iran support our expectations in which the longer is the delay in g...

Given the effects of inflation on the decline of household welfare and its impact on production and investment, identifying the factors affecting it in order to adjust inflation and achieve price stability is necessary. Therefore, using the TVP-FAVAR model, which differentiates the fluctuations in factors affecting inflation, we try to identify the effects of different shocks such as liquidity,...

The purpose of this paper is to estimate the welfare cost of inflation in Iran. We first use the long-horizon regression approach developed by Fisher and Seater (1993) to obtain an estimate of the inflation rate elasticity of money demand and then the Baily’s consumer surplus approach to calculate the welfare cost function. The results show that reducing inflation rate from 40% to 0% increases ...

Modern theories of inflation incorporate a vertical long-run Phillips curve and are usually estimated using techniques that ignore the non-stationary behaviour of inflation. Consequently, the estimates obtained are imprecise and are unable to distinguish between competing models of inflation and test the veracity of a vertical long-run Phillips curve. We estimate a Phillips curve model taking i...

country mean of inflation exceeded the median for each decade. This property reflects the skewing of inflation rates to the right, as shown in Figure 1. That is, there are a number of outliers with positive inflation rates of large magnitude, but none with negative inflation rates of high magnitude. Because this skewness increased in the 1980s, the mean inflation rate rose from the 1970s to the...

In brane inflationary scenarios, the cosmological perturbations are supposed to originate from the vacuum fluctuations of the inflaton field corresponding to the position of the brane. We show that a significant, and possibly dominant, contribution to the curvature perturbation is generated at the end of inflation through the vacuum fluctuations of fields, other than the inflaton, which are lig...

Introduction Health insurance premiums in California are increasing much faster than most other areas of the state’s economy. Between 2002 and 2007, premiums rose 86 percent compared to an overall inflation rate for the state of less than 20 percent.1 At the same time, policymakers and the public are eager to identify ways to address rising health care costs, often pointing to health plan admin...