Monetary Policy Rules and Macroeconomic Stability: Some New Evidence

S-Tier
Journal: American Economic Review
Year: 2010
Volume: 100
Issue: 1
Pages: 491-503

Score contribution per author:

8.043 = (α=2.01 / 1 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

I revisit the question of indeterminacy in US monetary policy using limited-information identification-robust methods. I find that the conclusions of Clarida, Galí, and Gernter (2000) that policy was inactive before 1979 are robust, but the evidence over the Volcker-Greenspan periods is inconclusive. I show that this is in fact consistent with policy being active over that period. Problems of identification also arise because policy reaction has been more gradual recently. At a methodological level, the paper demonstrates that identification issues should be taken seriously, and that identification-robust methods can be informative even when they produce wide confidence sets. (E31, E32, E52, E65,)

Technical Details

RePEc Handle
repec:aea:aecrev:v:100:y:2010:i:1:p:491-503
Journal Field
General
Author Count
1
Added to Database
2026-01-25