Rudebusch, Glenn D. (contributor); Wu, Tao (contributor) - 2003 - [Elektronische Ressource]
output and inflation. From this new em-
piricalformulation, weobtain severalinteresting results: (1) the latent termstructure … macroeconomic fundamentals–for example,
in the Taylor rule (Taylor 1993), the short rate depends on inflation and output. Section 3 … inflation target and the other as a cyclical monetary policy response
to the economy.
Section 4 builds on this interpretation …