Schabert, Andreas; Stoltenberg, Christian - Sonderforschungsbereich 649: Ökonomisches Risiko, … - 2005
This paper examines how money demand induced real balance effects contribute to the determination of the price level … exists a unique price level sequence that is consistent with an equilibrium under interest rate policy, only if beginning … equilibrium is consistent with infinitely many price level sequences, and equilibrium uniqueness requires an active interest rate …