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switches that either affect the inflation target or the response to inflation deviations from target lead to different … determinacy regions and different output, inflation, and interest rate distributions. With regime switching, the standard Taylor … determinacy. Switching inflation targets primarily affects the economy 's level, whereas switching inflation responses affects the …
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Money and Equilibrium in the Long Run: Long Run Growth – The Basic Framework -- Money and Long Run Growth -- Interaction Between Monetary and Fiscal Policy: Active and Passive Monetary Regimes -- Monetary Policy in the Short Run: New Keynesian Macroeconomics -- Optimal Monetary Policy --...
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This textbook provides an introduction to modern monetary economics for advanced undergraduates, highlighting the lessons learned from the recent financial crisis. The book presents both the core New Keynesian model and recent advances, taking into account financial frictions, and discusses...
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