Please use this identifier to cite or link to this item:
https://hdl.handle.net/10316/11741
Title: | Optimal monetary policy with a regime-switching exchange rate in a forward-looking model | Authors: | Fernando, Alexandre Pedro, Bação John, Driffill |
Keywords: | Exchange Rates; Monetary Policy; Markov Switching | Issue Date: | 2007 | Publisher: | FEUC. Grupo de Estudos Monetários e Financeiros | Citation: | Estudos do GEMF. 9 (2007) | Abstract: | We evaluate the macroeconomic performance of different monetary policy rules when there is exchange rate uncertainty. We do this in the context of a non-linear rational expectations model. The exchange rate is allowed to deviate from its fundamental value and the persistence of the deviation is modeled as a Markov switching process. Our results suggest that taking into account the switching nature of the economy is important only in extreme cases. | URI: | https://hdl.handle.net/10316/11741 | Rights: | openAccess |
Appears in Collections: | FEUC- Vários |
Files in This Item:
File | Description | Size | Format | |
---|---|---|---|---|
Optimal monetary policy with a regime-switching exchange rate.pdf | 429.84 kB | Adobe PDF | View/Open |
Google ScholarTM
Check
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.