Prices, and especially wages, respond slowly to changes in supply and demand ... school also maintained that money can have an effect on output in the short run but believed that in the long run, ...

Fed Chair Jerome Powell spoke about how the central bank's monetary policy framework could shift if inflation is more volatile and supply shocks more common.

Expansionary monetary policy is when a central bank increases the money supply which fights recessions and increases economic growth. Contractionary economic policy pulls money out of the economy ...

This paper investigates the impact of monetary policy on capital misallocation, focusing on its heterogeneous effects on firms. Using Spanish firm-level data spanning 1999 to 2019, we demonstrate that ...