A central issue for international monetary economics is to establish the impact of different exchange rate regimes on inflation performance. This paper addresses a key aspect of this question, how differences in country size affect inflation performance under alternative exchange rate regimes....

This paper will show that in the presence of real uncertainty an increase in the perfectly anticipated growth rate of the money supply will cause an increase in both expected inflation and inflation uncertainty due to what is termed amplification effects.

This paper examines the effect of monetary policy uncertainty on the relationship between inflation and its conditional variance. Uncertainty in monetary policy, defined as persistence in the shocks to the growth rate of money, produces real uncertainty in the economy which contributes to...