Arbeitspapier
Modest policy interventions
The authors present a theoretical and empirical framework for computing and evaluating linear projections conditional on hypothetical paths of monetary policy. A modest policy intervention does not significantly shift agents' beliefs about policy regime and does not induce the changes in behavior that Lucas (1976) emphasizes. Applied to an econometric model of U.S. monetary policy, the authors find that a rich class of interventions routinely considered by the Federal Reserve is modest and their impacts can be reliably forecast by an identified linear model. Modest interventions can shift projected paths and probability distributions of macro variables in economically meaningful ways.
- Language
-
Englisch
- Bibliographic citation
-
Series: Working Paper ; No. 2003-24
- Classification
-
Wirtschaft
- Subject
-
Equilibrium (Economics)
Monetary policy
Macroeconomics
Inflation (Finance)
Econometric models
- Event
-
Geistige Schöpfung
- (who)
-
Leeper, Eric M.
Zha, Tao
- Event
-
Veröffentlichung
- (who)
-
Federal Reserve Bank of Atlanta
- (where)
-
Atlanta, GA
- (when)
-
2003
- Handle
- Last update
-
10.03.2025, 11:46 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Leeper, Eric M.
- Zha, Tao
- Federal Reserve Bank of Atlanta
Time of origin
- 2003
Other Objects (12)
Modest policy interventions
Modest policy interventions
Conditions for effective macroprudential policy interventions
Foreign exchange market interventions as monetary policy
Gender, competition and the efficiency of policy interventions
Optimal timing of policy interventions in troubled banks
Gender, competition and the efficiency of policy interventions
Loss Aversion and the Welfare Ranking of Policy Interventions
Exchange-market interventions and monetary policy: the German experience
Modest pass-through of monetary policy to retail rates but no reversal
Are Constant Interest Rate Forecasts Modest Interventions? Evidence from an Estimated Open Economy DSGE Model of the Euro Area
COVID-19, policy interventions, credit vulnerabilities and financial (in)stability
Modest policy interventions
Modest policy interventions
Conditions for effective macroprudential policy interventions
Foreign exchange market interventions as monetary policy
Gender, competition and the efficiency of policy interventions
Optimal timing of policy interventions in troubled banks
Gender, competition and the efficiency of policy interventions
Loss Aversion and the Welfare Ranking of Policy Interventions
Exchange-market interventions and monetary policy: the German experience
Modest pass-through of monetary policy to retail rates but no reversal
Are Constant Interest Rate Forecasts Modest Interventions? Evidence from an Estimated Open Economy DSGE Model of the Euro Area
COVID-19, policy interventions, credit vulnerabilities and financial (in)stability
Modest policy interventions
Modest policy interventions
Conditions for effective macroprudential policy interventions
Foreign exchange market interventions as monetary policy
Gender, competition and the efficiency of policy interventions
Optimal timing of policy interventions in troubled banks
Gender, competition and the efficiency of policy interventions
Loss Aversion and the Welfare Ranking of Policy Interventions
Exchange-market interventions and monetary policy: the German experience
Modest pass-through of monetary policy to retail rates but no reversal
Are Constant Interest Rate Forecasts Modest Interventions? Evidence from an Estimated Open Economy DSGE Model of the Euro Area