Lecture9

1,049 views

Published on

Published in: Business, Technology
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
1,049
On SlideShare
0
From Embeds
0
Number of Embeds
94
Actions
Shares
0
Downloads
10
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Lecture9

  1. 1. EC4004 Lecture 9 Inflation, Money Growth, Interest Rates Stephen Kinsella | www.stephenkinsella.net
  2. 2. Data Inflation Interest Inflation in the Equilibrium Business- Cycle Model
  3. 3. Data
  4. 4. Cross-Country Data on Inflation and Money Growth 4
  5. 5. Inflation Interest Rates
  6. 6. Actual and Expected Inflation Let π be the inflation rate. The inflation rate from year 1 to year 2, π1, is the ratio of the change in the price level to the initial price level. – π1 = ( P2 − P1)/ P1 – π1 = ∆P1/ P1 6
  7. 7. Inflation and Interest Rates 7

×