Journal Article

Money growth and inflation: does fiscal policy matter?


Abstract: Is inflation (in the often-quoted words of Milton Friedman) \\"always and everywhere a monetary phenomenon\\"? Some say no, arguing that inflation is controlled not only by the central bank but also by the fiscal authority. This Commentary authors explore their argument, known as the fiscal theory of the price level.

Keywords: Fiscal policy; Inflation (Finance); Monetary policy;

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Provider: Federal Reserve Bank of Cleveland

Part of Series: Economic Commentary

Publication Date: 1999

Issue: Apr

Order Number: 2