FTPL

(redirected from Fiscal Theory of the Price Level)
AcronymDefinition
FTPLFédération du Tourisme de la Province de Liège (French: Tourism Federation of the Province of Liège; Liège, Belgium)
FTPLFiscal Theory of the Price Level (monetary policy)
FTPLFraresso Travaux Publics Location (French public works rental company)
FTPLFylfot Technologies Private Limited (India)
FTPLForages Travaux Publics Lautier (French drilling company)
FTPLFree the Panchen Lama (China; imprisoned political figure freedom movement)
FTPLForsyth Township Public Library (New Swanzy, MI)
FTPLFourier Transform Photo-Luminescence
References in periodicals archive ?
One of the prominent theories that explain this phenomenon is the fiscal theory of the price level (see, for example, Woodford (1995) and Cochrane (1998, 2001).
2.5 A Digression: The Fiscal Theory of the Price Level
The fiscal theory of the price level (in either its weak or strong form) does not overturn the idea that "inflation is always and everywhere a monetary phenomenon." This is not to say that that fiscal policy cannot influence monetary policy; no central bank has complete independence.
"The Fiscal Theory of the Price Level in an Open Economy." Journal of Monetary Economics, 48, 2001, 293-308.
According to Bajo-Rubio, Diaz-Roldan, & Esteve (2009), the Fiscal Theory of the Price Level (FTPL) takes into account monetary and fiscal policy interactions and assumes that fiscal policy may determine the price level, even if monetary authorities pursue an inflation targeting strategy.
Accordingly, this branch of literature is called "the fiscal theory of the price level." Several of the references provided in footnote five follow this line of thinking.
(4) But the fiscal theory of the price level is an alternative policy mix that delivers Regime F without necessarily producing the extremely high inflation rates associated with unpleasant arithmetic.
Recent research under the rubric of the 'fiscal theory of the price level' argues that under certain assumptions about monetary and fiscal policy behaviour, it is fiscal policy, rather than monetary policy, that determines the price level and the rate of inflation.
The fiscal theory of the price level identifies another channel through which the central bank can lose control of inflation, even in the case of an independent monetary authority that need not accept seignorage targets dictated by the fiscal authority.
After briefly discussing the merits of tradable deficit permits (TDPs) ("The Merits of Tradable Deficit Permits" section), we analyse perfect substitutability of tradable deficit permits within a monetarist framework and within the fiscal theory of the price level ("Perfect Substitutability" section).
Because fiscal policy plays such a prominent role in the theory underlying this view, it has been called the fiscal theory of the price level. Thus, we refer to it throughout this Commentary as the fiscal theory view.
There is ongoing debate about whether faster inflation would occur because the Federal Reserve would eventually be forced to support the government's future debt-financed expenditures through monetary accommodation or whether a sudden realignment of prices could occur even without an independent or fiscally induced monetary expansion--following the predictions of the so-called fiscal theory of the price level (FTPL).