Arbeitspapier
Simple Monetary Policy Rules and Exchange Rate Uncertainty
We analyze the performance and robustness of some common simple rules for monetary policy in a New-Keynesian open economy model under different assumptions about the exchange rate model. Adding the exchange rate to an optimized Taylor rule gives only small improvements in terms of economic stability in most model configurations. The Taylor rule is also slightly more robust to uncertainty about the exchange rate model than are rules that respond to the rate of exchange rate depreciation. Our results thus indicate that the Taylor rule may be sufficient to stabilize a small open economy, also under exchange rate model uncertainty.
- ISBN
-
82-7553-182-9
- Sprache
-
Englisch
- Erschienen in
-
Series: Working Paper ; No. 2001/6
- Klassifikation
-
Wirtschaft
Monetary Policy
Central Banks and Their Policies
Open Economy Macroeconomics
- Thema
-
open economy
exchange rate determination
model uncertainty
robustness of policy rules
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Leitemo, Kai
Söderström, Ulf
- Ereignis
-
Veröffentlichung
- (wer)
-
Norges Bank
- (wo)
-
Oslo
- (wann)
-
2001
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:44 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Leitemo, Kai
- Söderström, Ulf
- Norges Bank
Entstanden
- 2001
Ähnliche Objekte (12)
The Golden Interest Rule: Robust Simple Interest Rate Rules for the Norwegian Economy
Simple Cross-Check Models for the Krone Exchange Rate
Components of Uncertainty
Policy Rules and External Shocks
Simple Rules Versus Optimal Policy: What Fits?
Bond Liquidity at the Oslo Stock Exchange
Exchange Rate Regimes in Norway 1816-2016
Oil price drivers, geopolitical uncertainty and oil exporters' currencies
Inflation Targeting Rules: History-Dependent or Forwarding-Looking?
Monetary Policy and the Illusionary Exchange Rate Puzzle
Assessing Estimates of the Exchange Rate Pass-Through
From a Fixed Exchange Rate Regime to Inflation Targeting
The Golden Interest Rule: Robust Simple Interest Rate Rules for the Norwegian Economy
Simple Cross-Check Models for the Krone Exchange Rate
Components of Uncertainty
Policy Rules and External Shocks
Simple Rules Versus Optimal Policy: What Fits?
Bond Liquidity at the Oslo Stock Exchange
Exchange Rate Regimes in Norway 1816-2016
Oil price drivers, geopolitical uncertainty and oil exporters' currencies
Inflation Targeting Rules: History-Dependent or Forwarding-Looking?
Monetary Policy and the Illusionary Exchange Rate Puzzle
Assessing Estimates of the Exchange Rate Pass-Through
From a Fixed Exchange Rate Regime to Inflation Targeting
The Golden Interest Rule: Robust Simple Interest Rate Rules for the Norwegian Economy
Simple Cross-Check Models for the Krone Exchange Rate
Components of Uncertainty
Policy Rules and External Shocks
Simple Rules Versus Optimal Policy: What Fits?
Bond Liquidity at the Oslo Stock Exchange
Exchange Rate Regimes in Norway 1816-2016
Oil price drivers, geopolitical uncertainty and oil exporters' currencies
Inflation Targeting Rules: History-Dependent or Forwarding-Looking?
Monetary Policy and the Illusionary Exchange Rate Puzzle
Assessing Estimates of the Exchange Rate Pass-Through