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Understanding the Fiscal Theory of the Price Level

  • Lawrence J. Christiano
  • Terry J. Fitzgerald

We review the fiscal theory of the price level. We place special emphasis on the theory's implications for the feasibility of price stability.

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File URL: http://www.nber.org/papers/w7668.pdf
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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 7668.

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Date of creation: Apr 2000
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Publication status: published as Christiano, Lawrence J. and Terry J. Fitzgerald. "Understanding The Fiscal Theory Of The Price Level," FRB Cleveland - Economic Review, 2000, v36(2,Qtr-2), 2-37.
Handle: RePEc:nbr:nberwo:7668
Note: EFG
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  28. Lucas, Robert Jr. & Stokey, Nancy L., 1983. "Optimal fiscal and monetary policy in an economy without capital," Journal of Monetary Economics, Elsevier, vol. 12(1), pages 55-93.
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