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-targeting regime associated with Friedman's money supply rule can generate dynamic instability in output, inflation and money demand …
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, with both higher inflation and output variability. This is true even with a deterministic money demand formulation. In this …
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This paper discusses how price stability can be defined and how price stability can be maintained in practice. Some lessons for the Eurosystem are also considered. With regard to defining price stability, the choice between price-level stability and low (including zero) inflation and the...
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