Abstract
This paper analyzes the effect of money-growth and interest-rate variability upon inflation. Unlike prior studies, the reduced-form inflation equation tested is derived from a closed-economy IS-LM model with an expectations-augmented Phillips Curve. The post-1979 period found money-growth variability to have a positive and marginally significant effect upon inflation.
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Payne, J.E. The effect of money-growth and interest-rate variability upon inflation. J Econ Finan 17, 11–20 (1993). https://doi.org/10.1007/BF02920634
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DOI: https://doi.org/10.1007/BF02920634