For example, markets will always have a view about the government's policy on monetary growth.

The first is that the constant component of monetary growth, g, does now exert an influence on real output.

The first equation in this model is an estimate of the process that monetary growth followed over the period considered.

Thus a rise in monetary growth which is anticipated will have no effect on the level of unemployment.

Here, then, is a fourth source of monetary growth.

If the government wishes to restrict monetary growth over the longer term, it could in theory attempt to control any of these four.

In reality it was simply a recognition that the government had abandoned any serious attempt to keep monetary growth within targets.

With fiscal policy off the charts and monetary growth already high, how could we respond?

Generally, strong monetary growth leads to inflation and to stronger economic growth.

It also said that the current annual rate exaggerated actual monetary growth.