Optimal Time-Invariant Monetary Policy.
This paper investigates how best to determine time-invariant policy rules in macroeconomic models with forward-looking constraints, where fully optimal policy is known to be time-inconsistent. It proposes a new ‘coefficient optimisation’ approach that improves upon the timeless perspective method of...
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| Format: | Working paper |
| Language: | English |
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Department of Economics (University of Oxford)
2009
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