Discussion of 'Uncertainty, Inflation, and Welfare'.

The article presents commentary on an article in the current issue by Jonathan Chiu and Miguel Molico entitled "Uncertainty, Inflation, and Welfare." The author describes Chiu's and Molico's paper, then discusses quantitative and alternative-modeling issues raised by it. He notes the importance of Chiu's and Molico's inclusion of a centralized market in facilitating the trade of goods. He also discusses results he obtains from Chiu's and Molico's model by assuming an environment in which agents confront alternating types of Walrasian markets.