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This paper develops a theoretical model of dynamic decision-making of a monetary policy committee with heterogeneous …
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affects the behavior of committee members and the decision-making accuracy. Our theoretical analysis generates two major …
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We investigate the implications for the setting of interest rates when monetary policy decisions are taken by a committee, in which a subset of members may meet prior to the voting in the committee and therefore has the possibility to reach consensus ex ante to vote unanimously ex post. We allow...
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