Abstract
I demonstrate that econometric estimations of nominal interest rate rules may tell little, if anything, about an economy's determinacy properties. In particular, correct inference about the interest-rate response to inflation provides no information about determinacy. Instead, it could reveal whether optimal monetary policymaking is performed under discretion or commitment.
| Original language | English |
|---|---|
| Journal | B.E. Journal of Macroeconomics |
| Volume | 11 |
| Issue number | 1 (Contributions), Article 11 |
| Pages (from-to) | 1-20 |
| Number of pages | 20 |
| ISSN | 1935-1690 |
| DOIs | |
| Publication status | Published - 2011 |