Search Results for: Optimal Monetary Poicy Under Bounded Rationality

The form of bounded rationality characterizing the representative agent is key in the choice of the optimal monetary policy regime. While inflation targeting pr

The form of bounded rationality characterizing the representative agent is key in the choice of the optimal monetary policy regime. While inflation targeting pr

This book provides a thorough survey of the model-based literature on optimal monetary in a stochastic setting. The survey begins with the literature of the 197

It is widely recognised that the market and the monetary authorities face a high degree of uncertainty about the appropriate models to use for policy decisions

This paper presents a framework for analyzing how bounded rationality affects monetary and fiscal policy. The model is a tractable and parsimonious enrichment o