, inflation targeting remains robustly optimal in non-U.S. economies. The implementation of this non-cooperative policy results in … inflation targeting to take advantage of its effects on global product and asset markets, generating negative spillovers on the …

rational private sector expectations about housing prices and inflation, optimal monetary policy can be characterized by a … standard 'target criterion' that refers to inflation and the output gap, without making reference to housing prices. When the … increases (decreases), policy should adopt a stance that is projected to undershoot (overshoot) its normal targets for inflation …

inflation. Hence, the initial response of inflation to monetary shocks is not sufficient to discriminate across models and for …

rate policy helps to reconcile the inflation and output persistence with empirical observations for the US economy. We show … findings for the inflation inertia in a model with capital adjustment costs and variable capacity utilization, the output …

impact inflation, little crowding out of private expenditure exists, and the multiplier tends to be larger compared to a one …

-equivalent nonlinear quadratic regulator (NLQR) problem is derived. Optimal rules are calculated by adapting from the engineering theory …