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- W2891821978 abstract "This paper analyzes the effects of an increase in the monetary growth rate within a dynamic optimizing macroeconomic model. Both the short-run and long-run effects, and therefore the adjustments along the transitional path, depend critically upon the tax structure and the firm's corresponding optimal financial decisions. With all bond financing, the effects depend upon the extent to which interest payments are tax deductible for corporations. If this is sufficiently high, the effects of an increase in the monetary growth rate are generally expansionary. With low interest deductibility, or if the tax structure induces equity financing, the effects arc generally contractionary." @default.
- W2891821978 created "2018-09-27" @default.
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- W2891821978 date "1987-01-01" @default.
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- W2891821978 title "Monetary Growth, Inflation, and Economic Activity in a Dynamic Macro Model" @default.
- W2891821978 hasPublicationYear "1987" @default.
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