Showing 1 - 8 of 8
establish the stability properties of the resulting control system. …
Persistent link: https://www.econbiz.de/10010874309
approximation based on an associated differential equation. Global stability, local stability and instability results for SRAs are … presented. For a wide range of solutions to economic models the stability conditions for REE under statistical learning rules … are given by the expectational stability principle, which is treated as a unifying principle for the results presented …
Persistent link: https://www.econbiz.de/10014024243
the key results about interest-rate rules that deliver both uniqueness and stability of equilibrium under econometric …
Persistent link: https://www.econbiz.de/10005666454
A fundamentals-based monetary policy rule, which would be the optimal monetary policy without commitment when private agents have perfectly rational expectations, is unstable if in fact these agents follow standard adaptive learning rules. This problem can be overcome if private expectations are...
Persistent link: https://www.econbiz.de/10005666844
stability under learning. Appropriately designed expectations-based rules can yield optimal rational expectations equilibria …
Persistent link: https://www.econbiz.de/10005791392
We consider "robust stability" of a rational expectations equilibrium, which we define as stability under discounted … exhibit robust stability. We consider a variety of interest-rate rules, including instrument rules, optimal reaction functions … Honkapohja (2003, 2006) deliver robust learning stability. In contrast, many proposed alternatives become unstable under learning …
Persistent link: https://www.econbiz.de/10005498187
Some stability effects of technical trading on financial/commodity markets are analyzed in this paper. Technical … equation, whose (local) stability is determined by means of root-locus techniques. It is proven that the larger the time …-delay horizon, the larger the stability margin. This means that short-run technical trading is more likely to induce market …
Persistent link: https://www.econbiz.de/10010590356
strength of long-range correlations reflect both enhanced stability and adaptability. …
Persistent link: https://www.econbiz.de/10011062815