We argue that the Great Inflation experienced by both the United Kingdom and the United States in the 1970s has an explanation valid for both countries. The explanation does not appeal to common shocks or to exchange rate linkages, but to the common doctrine underlying the systematic monetary...

Woodford (2007) argues that it is not appropriate to regard inflation in the steady state of New Keynesian models as determined by steady-state money growth. Woodford instead argues that the intercept term in the monetary authority's interest-rate policy rule determines steady-state inflation....

Woodford (2007) argues that it is not appropriate to regard inflation in the steady state of New Keynesian models as determined by steady-state money growth. Woodford instead argues that the intercept term in the monetary authority's interest-rate policy rule determines steady-state inflation....

Intro -- THE U.K.'S ROCKY ROAD TO STABILITY -- THE U.K.'S ROCKY ROAD TO STABILITY -- CONTENTS -- PREFACE -- INTRODUCTION -- TERMINOLOGICAL PRELIMINARIES -- 2A UNITED KINGDOM -- 2B INTEREST RATES, MONEY, AND CREDIT -- 2C CONSUMER PRICES -- THE NONMONETARY APPROACH TO MACROECONOMIC POLICY...