Monetary Non-neutrality in the Sidrauski Model Under Uncertainty

Introduducing uncertainty in the Reis's (2007) version of the Sidrauski model leads to a monetary policy that is not super-neutral even though money and consumption are separable in the utility function. This is because the real interest rate is affected by such a policy. Only in the case of an interest rate inelastic money demand does the super-neutrality result survive.

LIOUI, A. and PONCET, P. (2008). Monetary Non-neutrality in the Sidrauski Model Under Uncertainty. Economics Letters, 100(1), pp. 22-26.

Keywords : #Accumulation-de-capital, #Monnaie-et-croissance, #Non, #neutralité-de-la-monnaie, #Politique-monétaire