This paper reviews recent research on the political economy of monetary policy-making,
both by economists and political scientists. The traditional argument for central bank …

The Fiscal Theory of the Price Level Page 1 Page 2 The Fiscal Theory of the Price Level john h.
cochrane princeton university press princeton and oxford Page 3 Copyright c 2023 by …

We estimate a model for the US economy with monetary/fiscal policy mix changes. Monetary
policy accommodated fiscal policy through the'60s–'70s leading to high inflation. Monetary …

Empirical exchange-rate models fit very well for the US dollar in the 21st century. A
“standard” model that includes real interest rates and a measure of expected inflation for the …

We propose a method for solving and estimating linear rational expectations models that
exhibit indeterminacy and we provide step-by-step guidelines for implementing this method …

Research using structural models to identify monetary–fiscal interactions in emerging
economies is still rare. However, it has long been emphasized that monetary and fiscal …

I construct a simple model with sticky prices and interest rate targets, closed by fiscal theory
of the price level with long-term debt and fiscal and monetary policy rules. Fiscal surpluses …

We study the impact of the interaction between fiscal and monetary policy on the low-
frequency relationship between the fiscal stance and inflation using cross-country data from …

We documented that for some oil-exporting countries, the correlation between exchange
rates and oil prices is strongly negative during periods of significant oil price drop but is …

In a passive monetary and active fiscal policy regime, changes in the value of public debt
generate wealth effects on households. Then, in contrast to the active monetary and passive …