Ebook Download Essays on Monetary Economics

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Essays on Monetary Economics High quality books

Essays on Monetary Economics
By:Leon Williams Berkelmans
Published on 2008 by

The third paper considers the claim made in Rudebusch (2002b) that the Federal Reserve does not smooth interest rates. Support for this proposition was offered in a New Keynesian model, where smoothing led to predictability in interest rate changes, predictability not seen in the data. This paper estimates some of the key parameters of Rudebusch's model using a minimum distance estimator. The data support an interest rate policy that is very inertial. Indeed, policy is so inertial that it may be better characterized as an equation in changes. With the estimated parameters the inertial policy does not result in predictable changes in the interest rate.

This Book was ranked at 22 by Google Books for keyword Monetary economics.

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