An ordering of measures of the welfare cost of inflation in economies with interest-bearing deposits

Autor:	Rubens Penha Cysne, David Turchick
Přispěvatelé:	Escolas::EPGE, FGV
Rok vydání:	2007
Předmět:	Inflation Economics and Econometrics Money demand Opportunity cost Divisia index Welfare cost of inflation media_common.quotation_subject MOEDA (ECONOMIA) Welfare Interest-bearing assets Economia Measure (mathematics) Interest bearing Economy Order (exchange) Economics media_common
Zdroj:	Repositório Institucional do FGV (FGV Repositório Digital) Fundação Getulio Vargas (FGV) instacron:FGV Repositório Institucional da USP (Biblioteca Digital da Produção Intelectual) Universidade de São Paulo (USP) instacron:USP
Popis:	This paper builds on Lucas [Econometrica 68 (2000), 247–274] and on Cysne [Journal of Money, Credit and Banking 35 (2003), 221–238] to derive and order six alternative measures of the welfare costs of inflation (five of them already existing in the literature) for any vector of opportunity costs. We provide examples and closed-form solutions for each welfare measure based both on log–log and on semilog money demands, whenever possible in terms of elementary functions. Estimates of the maximum relative error a researcher can incur when using any of these measures are given. Everything is done for economies with or without interest-bearing deposits.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_dedup___::b34cf6432d58d96cc306366987367c2c http://bibliotecadigital.fgv.br/dspace/bitstream/10438/396/1/2248.pdf Zobrazit plný text záznamu