Publication
Feb 2007
This paper analyzes whether core money growth helps to predict future inflation in a useful and reliable way. The author shows that core money growth carries important information not contained in the inflation history. He argues that its inclusion in a forecasting model can increase the forecasting accuracy and that it has had a strong and stable long-run link to inflation over the last decades.
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English (PDF, 41 pages, 562 KB) |
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Author | Kai Carstensen |
Series | Kiel Institute Working Papers |
Issue | 1318 |
Publisher | Kiel Institute for the World Economy |
Copyright | © 2007 Kiel Institute for the World Economy |