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Monetary Shocks in a Model with Skill Loss

✍ Scribed by JULEN ESTEBAN-PRETEL; ELISA FARAGLIA


Book ID
109147093
Publisher
John Wiley and Sons
Year
2010
Tongue
English
Weight
423 KB
Volume
42
Category
Article
ISSN
0022-2879

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Robust optimal monetary policy in a forw
✍ Marc P. Giannoni πŸ“‚ Article πŸ“… 2007 πŸ› John Wiley and Sons 🌐 English βš– 315 KB

## Abstract This paper characterizes a robust optimal policy rule in a simple forward‐looking model, when the policymaker faces uncertainty about model parameters and shock processes. We show that the robust optimal policy rule is likely to involve a stronger response of the interest rate to fluctu