Prudent Monetary Policy and Prediction of the Output Gap.

Prudent Monetary Policy and Prediction of the Output Gap.

Risk-adjusted LQG optimal control with perfect and imperfect observation of the economy is used to obtain prudent Taylor rules for monetary policies and cautious Kalman filters. A prudent central bank adjusts the nominal interest rate more aggressively to changes in the inflation gap, especially if...

Bibliografski detalji
Glavni autor:	van der Ploeg, F
Format:	Journal article
Jezik:	English
Izdano:	Elsevier 2009

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