Abstract
In Italy, as in other countries, inflation and nominal interest rates showed a strong positive correlation in the short run during the seventies. Depending on the share of inflation transferred on rates, this empirical evidence has often been regarded as consistent with a causal relation running from inflation to rates, according to the hypothesis that the real rate is substantially constant over time1.
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D’Elia, E. (1990). Interest Rates and Inflation in Italy during the Seventies: A Causal Analysis. In: Artus, P., Barroux, Y. (eds) Monetary Policy. Advanced Studies in Theoretical and Applied Econometrics, vol 19. Springer, Dordrecht. https://doi.org/10.1007/978-94-015-7852-3_8
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DOI: https://doi.org/10.1007/978-94-015-7852-3_8
Publisher Name: Springer, Dordrecht
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