A note on the integrability of partial-equilibrium measures of the welfare costs of inflation

Abstract

Multidimensional measures of the welfare costs of inflation have been employed in the literature without an explicit concern of how the demand for the respective monetary assets are generated and without an investigation of the respective integrability conditions. This note establishes conditions under which such welfare measures are well defined. (C) 2002 Elsevier Science B.V. All rights reserved.