Abstract
We study three equilibrium business cycle models that differ according to the mechanism through which monetary growth shocks affect the economy. These include models with inflation tax effects, with staggered nominal wage contracts, and with unanticipated inflation effects. We review some monetary features of business cycles in postwar US data and compare these with the same properties computed for the artificial economies. Our goal is to identify the features of the business cycle that these mechanisms help to explain, the features that remain puzzling, and how the form of the mechanism matters.
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