Narrow search
Showing 1 - 10 of 130,647
Cover Image
Are the Effects of Monetary Policy Shocks Big or Small?
Coibion, Olivier - 2010
This paper studies the estimated effects of monetary policy shocks from standard VAR's, which are small, and those from the approach of Romer and Romer (2004), which are large. The differences appear to be driven by three factors: a) the contractionary impetus associated with each shock, b) the...
Persistent link: https://www.econbiz.de/10013144847
Cover Image
Why are Target Interest Rate Changes so Persistent?
Coibion, Olivier - 2011
We investigate the source of the high persistence in the Federal Funds Rate relative to the predictions of simple Taylor rules. While much of the literature assumes that this reflects interest-smoothing on the part of monetary policy-makers, an alternative explanation is that it represents...
Persistent link: https://www.econbiz.de/10013131581
Cover Image
Monetary Policy, Trend Inflation, and the Great Moderation : An Alternative Interpretation
Gorodnichenko, Yuriy; Coibion, Olivier - 2009
With positive trend inflation, the Taylor principle is not enough to guarantee a determinate equilibrium. We provide new theoretical results on restoring determinacy in New Keynesian models with positive trend inflation and combine these with new empirical findings on the Federal Reserve’s...
Persistent link: https://www.econbiz.de/10014201193
Cover Image
rational inattention
Wiederholt, Mirko - Palgrave Macmillan
Economists have studied for a long time how decision-makers allocate scarce resources. The recent literature on rational inattention studies how decision-makers allocate the scarce resource attention. The idea is that decision-makers have a limited amount of attention and have to decide how to...
Persistent link: https://www.econbiz.de/10009395648
Cover Image
Monetary Policy, Output Composition and the Great Moderation
Mojon, Benoit - 2007
This paper shows how US monetary policy contributed to the drop in the volatility of US output fluctuations and to the ….e. changes in the size of monetary policy shocks, affect both the correlation between output components and their volatility. A … regime of high volatility in monetary policy shocks, that spanned from 1970 to 1975 and from 1979 to 1984 is characterized by …
Persistent link: https://www.econbiz.de/10012729657
Cover Image
Dynamics of Monetary Policy Uncertainty and the Impact on the Macroeconomy
Herro, Nicholas; Murray, James - Volkswirtschaftliche Fakultät, … - 2011
federal funds rate from econometric forecasts predicted by constant gain learning. We incorporate this measure of uncertainty … into a VAR model with ARCH shocks to measure the effect monetary policy uncertainty has on inflation, output growth …, unemployment, and the volatility of these variables. We find that a higher degree of uncertainty regarding monetary policy is …
Persistent link: https://www.econbiz.de/10009004831
Cover Image
Chapter 7. DSGE Models for Monetary Policy Analysis
Christiano, Lawrence J.; Trabandt, Mathias; Walentin, Karl - In: Handbook of monetary economics : volume 3, (pp. 285-367). 2010
Monetary DSGE models are widely used because they fit the data well and they can be used to address important monetary policy questions. We provide a selective review of these developments. Policy analysis with DSGE models requires using data to assign numerical values to model parameters. The...
Persistent link: https://www.econbiz.de/10014025673
Cover Image
Imperfect Competition, Monetary Policy and Welfare in a Currency Area
Lombardo, Giovanni - 2002
This paper studies the implication, in terms of welfare and monetary policy, of unequal degrees of competition across members of a currency area. We look at two ways in which the degree of competition in the market for goods can affect welfare in a currency area. One is through different average...
Persistent link: https://www.econbiz.de/10010295738
Cover Image
Imperfect competition, monetary policy and welfare in a currency area
Lombardo, Giovanni - 2002
This paper studies the implication, in terms of welfare and monetary policy, of unequal degrees of competition across members of a currency area. We look at two ways in which the degree of competition in the market for goods can affect welfare in a currency area. One is through different average...
Persistent link: https://www.econbiz.de/10011431763
Cover Image
Trend Inflation, Wage Indexation, and Determinacy in the U.S.
Ascari, Guido; Branzoli, Nicola; Castelnuovo, Efrem - 2011
We combine an estimated monetary policy rule featuring time-varying trend inflation and stochastic coefficients with a medium scale New Keynesian framework calibrated on the U.S. economy. We find the impact of variations in trend inflation on the likelihood of equilibrium determinacy to be both...
Persistent link: https://www.econbiz.de/10010343856