Is inflation 'always and everywhere a monetary phenomenon' or is it fundamentally a fiscal phenomenon? The answer hinges crucially on the underlying monetary-fiscal policy regime. Because different regimes imply completely different mechanisms for price level determination and therefore starkly...

This paper proposes a new strategy for the identification of all the marginal effects of an endogenous multi-valued variable (which can be continuous, or a vector) in a regression model with one binary instrumental variable. The unobservables must be separable from the endogenous variable of...