Government Revenue from Inflation
Bibliographic Data
| ID | 10175893 |
|---|---|
| Authors | Milton Friedman (corresponding author) |
| Year | 1971 |
| Volume | 79 |
| Issue | 4 |
| Pages | 846-856 |
| Publication date | 1971-07-01 |
| Peer Reviewed | Yes |
| Open Access | No |
| Type | ARTICLE |
| Venue | Journal of Political Economy (JOURNAL) |
| Journal identifiers | ISSN: 0022-3808 • E-ISSN: 1537-534X |
| Publisher | University of Chicago Press (PUBLISHER • US) |
| DOI | 10.1086/259791 |
| OpenAlex | W2018320088 |
| Language | EN |
| Citations received | 21 |
What rate of inflation will yield the greatest steady state command over real resources to a government having a monopoly on the issue of fiat money? The usual answer--the rate at which the inflation elasticity of demand for real balances is unity--is correct if real income is constant but wrong if real income is rising. The answer then depends also on the growth rate and on the income elasticity of demand for real balances. The revenue-maximizing rate of inflation is generally lower for growing than for constant real income and may even be negative, that is, deflation. Many actual rates of inflation seem higher than the revenue-maximizing rate
Central bank · Deflation · Economics · Income elasticity of demand · Inflation (cosmology · Interest rate · Macroeconomics · Microeconomics · Monetary economics · Monetary policy · Money creation · Money supply · Monopoly · Price elasticity of demand · Real interest rate · Revenue · Yield (engineering · Economic Theory and Policy · Finance
The inflation tax in developing countries
Monetary Policy in Developing Countries
Explaining differences in the domestic savings ratio across countries
Inflation and Monetary Velocity in Latin America
Nonlinearity and Chaos in Economic Models
Research on the Influence of Informal Employment on Residents’ Happiness in China
La question du Seigneuriage Dans les pays de la cee
The trouble with index-linking
The allocation of seigniorage in the Franc Zone
Models of financially repressed developing economies
Inflation, interest rate policy, and currency substitutions in developing economies
Government expenditure and the dynamics of high inflation
Controlling leviathan through tax reduction
Seigniorage in continuous time
The Redistributive Effects of Inflation—questions and Answers
The Honest Government's Guide to the Revenue from the Creation of Money
Some Principles of Inflationary Finance
Inflationary Finance and Growth
Representation at the margins
Gasto público, rezagos fiscales e inflación bajo previsión perfecta
Early Inflation Tax Theory and Estimates
| Unique citing works | 21 |
|---|---|
| Citations per year | 0,4 |
| Citation span | 1973 - 2022 (50) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 20 |