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Inflation without a quantity of money: a simple Wicksellian model outlined

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  • William Coleman

Abstract

The paper advances a simple and tractable Wicksellian model of inflation, in which the price level is determined by the interaction of the nominal rate of return on capital with a rule that governs the interest rate at which the Central Bank supplies money, and in which the equality of the supply of money with its demand has no explanatory role to play.

Suggested Citation

  • William Coleman, 2007. "Inflation without a quantity of money: a simple Wicksellian model outlined," CEPR Discussion Papers 557, Centre for Economic Policy Research, Research School of Economics, Australian National University.
    • Handle: RePEc:auu:dpaper:557
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    File URL: https://www.cbe.anu.edu.au/researchpapers/CEPR/DP557.pdf
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    References listed on IDEAS

    as
    1. Blinder, Alan S, 1997. "Is There a Core of Practical Macroeconomics That We Should All Believe?," American Economic Review, American Economic Association, vol. 87(2), pages 240-243, May.
    2. William Oliver Coleman, 2007. "The Causes, Costs and Compensations of Inflation," Books, Edward Elgar Publishing, number 3906.
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    More about this item

    Keywords

    Wicksell; inflation; monetary policy; central banks;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies

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