The Fiscal Theory of the Price Level
The Fiscal Theory of the Price Level
Cochrane, John
product information
Condition: New, UPC: 9780691242248, Publication Date: Sun, January 1, 2023, Type: Hardcover ,
join & start selling
description
government deficits and debt drive inflation

Where do inflation and deflation ultimately come from? The fiscal theory of the price level offers a simple answer: Prices adjust so that the real value of government debt equals the present value of taxes less spending. Inflation breaks out when people don't expect the government to fully repay its debts. The fiscal theory is well suited to today's economy: Financial innovation undermines money demand, and central banks don't control the money supply or aggressively change interest rates, invalidating classic theories, while large debts and deficits threaten inflation and constrain monetary policy. This book presents a comprehensive account of this important theory from one of its leading developers and advocates.

John Cochrane aims to make fiscal theory useful as a conceptual framework and modeling tool, and for analyzing history and policy. He merges fiscal theory with standard models in which central banks set interest rates, giving a novel account of monetary policy. He generalizes the theory to explain data and make realistic predictions. For example, inflation decreases in recessions despite deficits because discount rates fall, raising the value of debt; specifying that governments promise to partially repay debt avoids classic puzzles and allows the theory to apply at all times, not just during periods of high inflation. Cochrane offers an extensive rethinking of monetary doctrines and institutions through the eyes of fiscal theory, and analyzes the era of zero interest rates and post-pandemic inflation.

Filled with research by Cochrane and others, The Fiscal Theory of the Price Level offers important new insights about fiscal and monetary policy.

reviews

Be the first to write a review

member goods

No member items were found under this heading.

notems store

5 Steps to a 5: ...

by Dodge, Eric

Paperback /Paperback

$13.50

Principles of Macroeconomics

by Wolfers, Justin

Paperback /Paperback

$145.35

I Want to Be Rich!: ...

by Humbolt, Karin

Paperback /Paperback

The Good, the Bad, and ...

by Putterman, Louis G.

Paperback /Paperback

$15.26

listens & views

FESTER & PUTREFY

by CAVUS

COMPACT DISC

$6.75

FAMINE (TGV) (MPDL)

by FAMINE

VINYL LP

out of stock

$38.49

LIFT MY EYES

by LEADER,SCOTT

COMPACT DISC

out of stock

$10.99

COCKYPOP

by SAN,DAN BAND

COMPACT DISC

out of stock

$12.25

Return Policy

All sales are final

Shipping

No special shipping considerations available.
Shipping fees determined at checkout.
promoting relevance through notable postings ]
share it, buy it, sell it ]

A notem is a post that highlights an experience, idea, topic of interest, an event ... whatever a member believes worthy of discussion. Each notem becomes a pathway by which to make meaningful connections.

notems is a free, global social network that rewards members by the number and quality of notems they post.

notemote® © . Privacy Policy. Developed by Hartmann Software Group