Αποτελέσματα Αναζήτησης
27 Δεκ 2001 · Abstract. Lucas has recently suggested that the ‘shoe‐leather’ costs of inflation may amount to as much as 1% of GNP in the United States when moving to the Friedman optimum. We assess his thesis using empirical evidence for the United Kingdom over the period 1870–1994.
Metaphorically, shoe leather cost is the cost of time and effort (or opportunity costs of time and effort) that people expend by holding less cash in order to reduce the inflation tax that they pay on cash holdings when there is high inflation.
27 Δεκ 2001 · Lucas has recently suggested that the ‘shoe-leather’ costs of inflation may amount to as much as 1% of GNP in the United States when moving to the Friedman optimum. We assess his thesis using empirical evidence for the United Kingdom over the period 1870–1994.
Shoe-leather costs refer to the economic inefficiencies that arise when inflation causes individuals to reduce their cash holdings and increase their transactions in search of better value for their money.
1 Νοε 2006 · We calculate steady-state Laffer surfaces for a group of 30 countries, ranging from typically high- to low-inflation ones, based on estimated parameters of these countries' demands for currency and deposits. These parameters can also be used to measure the “shoe leather” costs of inflation.
We estimate the shoe-leather costs of inflation in the euro area using monetary data adjusted for holdings of euro bank-notes abroad. While we find evidence of marginally negative shoe-leather costs for very low levels of the nominal inter-est rate, our estimates suggest that the shoe-leather costs are
Lucas has recently suggested that the Ôshoe-leatherÕ costs of inflation may amount to as much as 1% of GNP in the United States when moving to the Friedman optimum. We assess his thesis using empirical evidence for the United Kingdom for the period 1870-1994.
