TY  - BOOK
AU  - Alvarez,Fernando
AU  - Atkeson,Andrew
AU  - Edmond,Chris
ED  - National Bureau of Economic Research.
TI  - On the Sluggish Response of Prices to Money in an Inventory-Theoretic Model of Money Demand
T2  - NBER working paper series
PY  - 2003///
CY  - Cambridge, Mass.
PB  - National Bureau of Economic Research
N1  - October 2003; Hardcopy version available to institutional subscribers
N2  - We exposit the link between money, velocity and prices in an inventory-theoretic model of the demand for money and explore the extent to which such a model can account for the short-run volatility of velocity, the negative correlation of velocity and the ratio of money to consumption, and the resulting  stickiness' of the aggregate price level relative to a benchmark model with constant velocity. We find that an inventory-theoretic model of the demand for money is a natural framework for understanding these aspects of the dynamics of money, velocity and prices in the short run
UR  - https://www.nber.org/papers/w10016
UR  - http://dx.doi.org/10.3386/w10016
ER  -