Monetary Policy and Public Finances: Inflation Targets in a New Perspective
This paper considers the interaction between the private sector, the monetary authority, and the fiscal authority, and concludes that unrestricted central bank independence may not be an optimal way to collect seigniorage revenues or stabilize supply shocks. Moreover, the paper shows that the implem...
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Format: | Elektronisch E-Book |
Sprache: | English |
Veröffentlicht: |
Washington, D.C
International Monetary Fund
1999
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Schriftenreihe: | IMF Working Papers
Working Paper No. 99/26 |
Online-Zugang: | UBW01 UEI01 LCO01 SBR01 UER01 SBG01 UBG01 FAN01 UBT01 FKE01 UBY01 UBA01 FLA01 UBM01 UPA01 UBR01 FHA01 FNU01 BSB01 TUM01 Volltext |
Zusammenfassung: | This paper considers the interaction between the private sector, the monetary authority, and the fiscal authority, and concludes that unrestricted central bank independence may not be an optimal way to collect seigniorage revenues or stabilize supply shocks. Moreover, the paper shows that the implementation of an optimal inflation target results in optimal shares of government finances-seigniorage, taxes, and the spending shortfall-from society's point of view but still involves suboptimal stabilization. Even if price stability is the sole central bank objective, a positive inflation target has important implications for the government's finances, as well as for stabilization |
Beschreibung: | 1 Online-Ressource (25 p) |
ISBN: | 1451844360 9781451844368 |
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spelling | Beddies, Christian H. Verfasser aut Monetary Policy and Public Finances Inflation Targets in a New Perspective Beddies, Christian H Washington, D.C International Monetary Fund 1999 1 Online-Ressource (25 p) txt rdacontent c rdamedia cr rdacarrier IMF Working Papers Working Paper No. 99/26 This paper considers the interaction between the private sector, the monetary authority, and the fiscal authority, and concludes that unrestricted central bank independence may not be an optimal way to collect seigniorage revenues or stabilize supply shocks. Moreover, the paper shows that the implementation of an optimal inflation target results in optimal shares of government finances-seigniorage, taxes, and the spending shortfall-from society's point of view but still involves suboptimal stabilization. Even if price stability is the sole central bank objective, a positive inflation target has important implications for the government's finances, as well as for stabilization Online-Ausg http://elibrary.imf.org/view/IMF001/04694-9781451844368/04694-9781451844368/04694-9781451844368.xml Verlag URL des Erstveröffentlichers Volltext |
spellingShingle | Beddies, Christian H. Monetary Policy and Public Finances Inflation Targets in a New Perspective |
title | Monetary Policy and Public Finances Inflation Targets in a New Perspective |
title_auth | Monetary Policy and Public Finances Inflation Targets in a New Perspective |
title_exact_search | Monetary Policy and Public Finances Inflation Targets in a New Perspective |
title_exact_search_txtP | Monetary Policy and Public Finances Inflation Targets in a New Perspective |
title_full | Monetary Policy and Public Finances Inflation Targets in a New Perspective Beddies, Christian H |
title_fullStr | Monetary Policy and Public Finances Inflation Targets in a New Perspective Beddies, Christian H |
title_full_unstemmed | Monetary Policy and Public Finances Inflation Targets in a New Perspective Beddies, Christian H |
title_short | Monetary Policy and Public Finances |
title_sort | monetary policy and public finances inflation targets in a new perspective |
title_sub | Inflation Targets in a New Perspective |
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