central bank recognizes that private-sector expectations need not be precisely model-consistent, and wishes to choose a policy … increases in inflation than would be considered optimal if one could count on the private sector to have "rational expectations". …

rational private sector expectations about housing prices and inflation, optimal monetary policy can be characterized by a … policymaker is concerned with potential departures of private sector expectations from rational ones and seeks a policy that is …

-fulfilling variations in economic agents' expectations. Specifically, revised expectations about future aggregate demand change current …

-fulfilling variations in economic agents' expectations. Specifically, revised expectations about future aggregate demand change current …

equilibrium consistent with the policy. We propose an explicit cognitive process by which agents may form their expectations of …