RT Generic
T1 Money and inflation : lessons from the US for ECB monetary policy
A1 Belke,Ansgar
A1 Polleit,Thorsten
WP 2008/02/18
AB We turn our attention to the role of money for determining nominal magnitudes.
Using US data, we find that the aggregate ?nominal output plus and stock market
capitalisation? is closely related to the money stock, lending support to one of Milton Friedman?s key monetarist propositions. This finding should be particularly important for ECB monetary policy: an inflation-free euro plays a crucial role for European economic and political integration. We conclude that monetary policy must keep a very close eye on money supply if it wants to prevent consumer and asset price inflation.
K1 Geld
K1 Geldpolitik
K1 Inflation
PP Hohenheim
PB Kommunikations-, Informations- und Medienzentrum der Universität Hohenheim
UL http://opus.uni-hohenheim.de/volltexte/2008/235