Miller, Stephen M.; Martins, Luis Filipe; Gupta, Rangan - Institut de Préparation à l'Administration et à la … - 2014
cost of inflation for the US economy using a flexible timevarying cointegration methodology to estimate the money demand … period. Our estimate of the welfare cost of inflation for a 10-percent inflation rate lies in the range of 0.025 to 0 … cost of inflation. Finally, the interest elasticity of money demand shows substantial variability over our sample period. …