optimise under limited-information model-consistent learning, where each agent knows the parameters related to his …/her optimization problem. Under this learning approach the effect of a monetary policy shock on output and inflation is more muted but … learning version, we .find stronger expansionary effects of an increase in government expenditure during periods of downturns …

realistic assumption of boundedly rational learning where agents are assumed to use only a limited set of information to form … differences in the adjustment path to the shocks to the economy when agent form expectations using our learning approach compared …

realistic assumption of boundedly rational learning where agents are assumed to use only a limited set of information to form … path to the shocks to the economy when agent form expectations using our learning approach compared to expectations formed …