We analyse the determinants of the public's relative concerns about inflation and unemployment using responses to the Gallup Poll question on the relative seriousness of inflation and unemployment. We then estimate the rate of inflation that politicians will choose to impose on the US economy...

This paper uses Leamer's sensitivity test in a VAR framework and examines the robustness of the relationship between different monetary and output variables. Output variables at the aggregated level include GDP, consumption, and gross private investment. Disaggregated variables comprise...

Using a vector autoregressive framework, this paper examines the role of real and monetary factors in explaining velocity instability in the sample periods 1973:1-1993:2 and 1979:4-1993:2. The VAR model includes money growth variability, velocity, the interest rate and real output. On the basis...

A quadratic presidential popularity function for the Nixon and Ford presidencies is estimated. Using monthly data it is found that there is a structural change in the relationship between presidential popularity and inflation and unemployment between the two presidencies. This result strengthens...