Identification with Taylor Rules
View on Open Library ↗

Identification with Taylor Rules

by

12 min read
Rate this book:
43 pages 2007

About This Book

The parameters of the Taylor rule relating interest rates to inflation and other variables are not identified in new-Keynesian models. Thus, Taylor rule regressions cannot be used to argue that the Fed conquered inflation by moving from a "passive" to an "active" policy in the early 1980s.

Buy This Book

As an Amazon Associate and Bookshop.org affiliate, BookOrb earns from qualifying purchases.

Write a Review

Sign in to write a review.