EconStor >
Bard College, Annandale-on-Hudson (NY) >
Levy Economics Institute of Bard College >
Working Papers, Levy Economics Institute of Bard College >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/31587
  

Full metadata record

DC FieldValueLanguage
dc.contributor.authorMichl, Thomas R.en_US
dc.date.accessioned2006-03-10en_US
dc.date.accessioned2010-05-14T11:09:16Z-
dc.date.available2010-05-14T11:09:16Z-
dc.date.issued2006en_US
dc.identifier.urihttp://hdl.handle.net/10419/31587-
dc.description.abstractThis paper elaborates a simple model of growth with a Taylor-like monetary policy rule that includes inflation-targeting as a special case. When the inflation process originates in the product market, inflation-targeting locks in the unemployment rate prevailing at the time the policy matures. Although there is an apparent NAIRU and Phillips curve, this long run position depends on initial conditions; in the presence of stochastic shocks, it would be path dependent. Even with an employment target in the Taylor Rule, the monetary authority will generally achieve a steady state that misses both its targets since there are multiple equilibria. With only one policy instrument, Tinbergen's Rule dictates that policy can only achieve one goal, which can take the form of a linear combination of the two targets.en_US
dc.language.isoengen_US
dc.publisherThe Levy Economics Inst. of Bard College Annandale-on-Hudson, NYen_US
dc.relation.ispartofseriesWorking papers // The Levy Economics Institute 444en_US
dc.subject.jelE12en_US
dc.subject.jelE52en_US
dc.subject.ddc330en_US
dc.subject.keywordInflation targetingen_US
dc.subject.keywordemployment targetingen_US
dc.subject.keywordTaylor ruleen_US
dc.subject.keywordhysteresisen_US
dc.titleTinbergen rules the Taylor Ruleen_US
dc.typeWorking Paperen_US
dc.identifier.ppn508798523en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
Appears in Collections:Working Papers, Levy Economics Institute of Bard College

Files in This Item:
File Description SizeFormat
508798523.pdf428.56 kBAdobe PDF
No. of Downloads: Counter Stats
Show simple item record
Download bibliographical data as: BibTeX

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.