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We estimate a model in which fiscal and monetary policy obey the targeting rules of distinct policy authorities, with potentially different objective functions. We find: (1) Time‐consistent policy fits U.S. time series at least as well as instrument‐rules‐based behavior; (2) American...
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. As regard to the trade-openness, although an asymmetry is reported, the signs refute the validation of Romer (1993 …
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