learning. Credibility is measured by accuracy of this forecasting method relative to simple statistical forecasts. Credibility … evolves through reinforcement learning. Initial credibility and initial level of target price are key factors influencing …We examine global dynamics under learning in a nonlinear New Keynesian model when monetary policy uses price …

learning dynamics we find the additional possibility of a liquidity trap, in which the economy slips below this low inflation …We consider inflation and government debt dynamics when monetary policy employs a global interest rate rule and private … agents forecast using adaptive learning. Because of the zero lower bound on interest rates, active interest rate rules are …

models of expectations formation that rely on econometric learning. Some apparently natural policy rules turn out to imply … expectational instability of private agents’ learning. We use the standard New Keynesian model to illustrate this problem and survey … learning. We then consider some practical concerns such as measurement errors in private expectations, observability of …

models of expectations formation that rely on econometric learning. Some apparently natural policy rules turn out to imply … expectational instability of private agents' learning. We use the standard New Keynesian model to illustrate this problem and survey … learning. We then consider some practical concerns such as measurement errors in private expectations, observability of …

models of expectations formation that rely on econometric learning. Some apparently natural policy rules turn out to imply … expectational instability of private agents?learning. We use the standard New Keynesian model to illustrate this problem and survey … learning. We then consider some practical concerns such as measurement errors in private expectations, observability of …

models of expectations formation that rely on econometric learning. Some apparently natural policy rules turn out to imply … expectational instability of private agents' learning. We use the standard New Keynesian model to illustrate this problem and survey … learning. We then consider some practical concerns such as measurement errors in private expectations, observability of …

Earlier studies of the seigniorage inflation model have found that the high-inflation steady state is not stable under … adaptive learning. We reconsider this issue and analyze the full set of solutions for the linearized model. Our main focus is … on stationary hyperinflationary paths near the high-inflation steady state. The hyperinflationary paths are stable under …

Earlier studies of the seigniorage inflation model have found that the high-inflation steady state is not stable under … adaptive learning. We reconsider this issue and analyze the full set of solutions for the linearized model. Our main focus is … on stationary hyperinflationary paths near the high-inflation steady state. The hyperinflationary paths are stable under …

We investigate both the rational explosive inflation paths studied by McCallum (2001), and the classification of fiscal … and monetary policies proposed by Leeper (1991), for stability under learning of the rational expectations equilibria (REE …). Our first result is that the fiscalist REE in the model of McCallum (2001) is not locally stable under learning. In …

Earlier studies of the seigniorage inflation model have found that the high-inflation steady state is not stable under … adaptive learning. We reconsider this issue and analyze the full set of solutions for the linearized model. Our main focus is … on stationary hyperinflationary paths near the high-inflation steady state. The hyperinflationary paths are stable under …