Monetary Policy Rules in Conditions of Long-term Domar-Solow Equilibrium
نویسندگان
چکیده
منابع مشابه
Monetary Policy and Long-term Interest Rates
This paper documents some new empirical results about the monetary policy and long-term interest rates in the United States. It shows that changes in the monetary policy stance are more predictable to the bond market in the 1990s than in the 1970s. This shift in the predictability of the monetary policy actions affects the policy’s impact on long-term interest rates as well as the forecasting p...
متن کاملShould Monetary Policy Use Long-Term Rates?
This paper studies two roles that long-term nominal interest rates can play in the conduct of monetary policy in a New Keynesian model. The first allows long-term rates to enter the reaction function of the monetary authority. The second considers the possibility of using long-term rates as instruments of policy. It is shown that in both cases a unique rational expectations equilibrium exists. ...
متن کاملAlternative Conditions to Time Inconsistency Equilibrium of an International Monetary Policy
Monetary policy rule is an approach to avoid time inconsistency problem as regarded by new classical economist to choose a time plan for policy making in order to maximize householdsâ well-being. The foundation of time inconsistency problem is not coincidence of expectations as an ex-ante variable, which is expected variable, with actual variable as an ex-post variable. Expectations in Finn K...
متن کاملLearning about Monetary Policy Rules when Long-Horizon Expectations Matter
This paper considers the implications of an important source of model misspecification for the design of monetary policy rules: the assumed manner of expectations formation. Following a considerable literature on learning, it is assumed that private agents seek to maximize their objectives subject to standard constraints and the restriction of using an econometric model to make inferences about...
متن کاملMonetary Policy as Equilibrium Selection
Can monetary policy guide expectations toward desirable outcomes when equilibrium and welfare are sensitive to alternative, commonlyheld rational beliefs? We study this question in an exchange economy with endogenous debt limits in which dynamic complementarities between dated debt limits support two Pareto-ranked steady states: A sub-optimal, locally stable autarkic state, and a constrained op...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
ژورنال
عنوان ژورنال: Gospodarka Narodowa
سال: 2003
ISSN: 0867-0005,2300-5238
DOI: 10.33119/gn/113798