haku: @journal_id 109 / yhteensä: 867
viite: 150 / 867
| Tekijä: | Palivos, T. |
| Otsikko: | Optimal monetary policy with heterogeneous agents: a case for inflation |
| Lehti: | Oxford Economic Papers
2005 : JAN, VOL. 57:1, p. 34-50 |
| Asiasana: | Monetary policy Inflation Models |
| Kieli: | eng |
| Tiivistelmä: | The paper analyses the role of monetary policy in an overlapping-generations monetary (henceforth as: m-try.) growth model with two types of agents, who exhibit a different degree of altruism towards their descendants. It is shown that changes in the money growth rate have significant distributional effects. In addition, the optimal rate of m-try. expansion is, in general, higher than the one implied by the Friedman rule. In fact, it may yield a small but positive rate of inflation, even though capital is invariant to changes in the money growth rate. Finally, this optimal rate of m-try. expansion takes higher values as the society's aversion towards inequality increases. |
SCIMA