Blanchard, Olivier (contributor); Galí, Jordi (contributor) - 2006
field of money, banking and finance. This paper was presented at the
International Research Forum on Monetary Policy 2006 …
tradeoff between inflation and unemployment stabilization, and we draw the implications for
optimal monetary policy.
JEL … decade.
On the one hand, the New Keynesian model (the NK model, for short) has
emerged as a powerful tool for monetary policy …