Caggiano, Giovanni; Castelnuovo, Efrem; Nodari, Gabriela - 2018
We employ real-time data available to the US monetary policy makers to estimate a Taylor rule augmented with a measure … of financial uncertainty over the period 1969-2008. We find evidence in favor of a systematic response to financial … uncertainty over and above that to expected inflation, output gap, and output growth. However, this evidence regards the Greenspan …