The Costs of Inflation Revisited

  title={The Costs of Inflation Revisited},
  author={Steven Horwitz},
  journal={The Review of Austrian Economics},
  • S. Horwitz
  • Published 1 March 2003
  • Economics
  • The Review of Austrian Economics
Neoclassical treatments of inflation understate the costs associated with inflation, even at very low levels. A comparative institutions perspective that recognizes the epistemological properties of prices and the institutional process by which inflation takes place, reveals the costs of inflation to be both larger and more widespread than standard treatments suggest. This paper makes use of insights from Austrian economics, public choice theory, and the new institutional economics to argue… 
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