We present numerical estimates of the effect on the dollar/sterling exchange rate in the early 1920s of anticipations of the return to the gold standard at pre-war parity in the U.K. These measures are calculated using a weak version of the monetary model of the exchange rate but are consistent...

A test of a dynamic, macroeconomic model with free parameters is provided by comparing its features, such as moments, with those of historical data. We provide a method for studying the distribution of the sample moment under the null hypothesis that the model is true. We calculate the size of...

We examine hypotheses about the relationship between provisional estimates and final values of M1, M2, and M3 and their growth rates in Canada, using monthly data and multiple revisions. Preliminary values cannot be viewed as final values plus an error (revision) uncorrelated with these but they...

Phillips curves are central to discussions of inflation dynamics and monetary policy. New Keynesian Phillips curves describe how past inflation, expected future inflation, and a measure of real marginal cost or an output gap drive the current inflation rate. This paper studies the (potential)...

We study the role of distance and time in statistically explaining price dispersion for 14 commodities from 1732 to 1860. The prices are reported for US cities and Swedish market towns, so we can compare international and intranational dispersion. Distance and commodity-specific fixed effects...