We derive optimal monetary policy in a sticky price model when private agents follow adaptive learning. We show that … order to facilitate private sector learning and thus ease the future intratemporal inflation-output gap trade-offs. The … policy recommendation is robust: the welfare loss entailed by optimal policy under learning if the private sector actually …

We derive the optimal monetary policy in a sticky price model when private agents follow adaptive learning. We show … order to facilitate private sector learning and thus ease the future intratemporal inflation-output gap trade-offs. The … policy recommendation is robust: the welfare loss entailed by the optimal policy under learning if the private sector …

We derive the optimal monetary policy in a sticky price model when private agents follow adaptive learning. We show … order to facilitate private sector learning and thus ease the future intratemporal inflation-output gap trade-offs. The … policy recommendation is robust: the welfare loss entailed by the optimal policy under learning if the private sector …

Most studies of optimal monetary policy under learning rely on optimality conditions derived for the case when agents …, and makes active use of, the learning algorithm agents follow in forming their expectations. In this setup, monetary … policy can influence future expectations through its effect on learning dynamics, introducing an additional tradeoff between …

Most studies of optimal monetary policy under learning rely on optimality conditions derived for the case when agents …, and makes active use of, the learning algorithm agents follow in forming their expectations. In this setup, monetary … policy can influence future expectations through its e ect on learning dynamics, introducing an additional tradeo between …

" parameter which converges in the limit to zero. These systems have recently been used to study the dynamics of adaptive learning …

private agents' learning process, determines the speed at which the economy converges to the rational expectation equilibrium … convergence. I assess the relevance of the transition period from the learning to the rational expectations equilibrium when …

In this study we consider a linear model with forecast feedback in which boundedly rational agents are learning the … parameter values of the rational expectations equilibrium by the OLS learning procedure. We show strong consistency of the OLS … boundedly rational learning approach to models including non-stationary time series, like processes with polynomial trends or …

asymmetric information and learning from current prices. In such models, traders are asymmetrically informed about the …