A dataset comprising 38 countries and relatively long sample periods, which extend in some
cases to over a century, is used to study the behavior of long-run demand for M1. For a large …

The long-run welfare costs of inflation are studied in a micro-founded model with trading
frictions and costly liquidity management. By modelling the liquidity management decision …

We develop a Markov Switching model for inflation with time-varying transition probabilities.
Inflation is characterized by two regimes (high and low inflation) and the probability of …

We distinguish between good and bad deflations. In the former case, falling prices may be
caused by aggregate supply (possibly driven by technology advances) increasing more …

What explains the widespread fear of deflation? This article reviews the history of thought,
economic history, and empirical evidence on deflation, with a view to answering this …

Historically high levels of private and public debt coupled with already very low short-term
interest rates appear to limit the options for stimulative monetary policy in many advanced …

Canada suffered a major depression from 1929 to 1939. In terms of output it was similar to
the Great Depression in the United States. However, total factor productivity (TFP) in Canada …

What explains the widespread fear of deflation? This paper reviews the history of thought,
economic history, and empirical evidence on deflation, with a View to answering this …

This book was originally published in 2004. Fears of deflation seemed nothing more than a
relic of the Great Depression. However, beginning in the 1990s, persistently falling …

This paper studies the welfare costs and the redistributive effects of inflation in the presence
of idiosyncratic liquidity risk, in a microfounded search‐theoretical monetary model. We …