TY  - UNPD
A1  - Bursian, Dirk
A1  - Roth, Markus
T1  - Optimal policy and Taylor rule cross-checking under parameter uncertainty : [Version 26 September 2013]
T2  - SAFE working paper series ; No. 30
N2  - We examine whether the robustifying nature of Taylor rule cross-checking under model uncertainty carries over to the case of parameter uncertainty. Adjusting monetary policy based on this kind of cross-checking can improve the outcome for the monetary authority. This, however, crucially depends on the relative welfare weight that is attached to the output gap and also the degree of monetary policy commitment. We find that Taylor rule cross-checking is on average able to improve losses when the monetary authority only moderately cares about output stabilization and when policy is set in a discretionary way.
T3  - SAFE working paper - 30 
KW  - Optimal monetary policy
KW  - parameter uncertainty
KW  - Taylor rule
Y1  - 2013
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/31786
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-317864
UR  - http://ssrn.com/abstract=2320426
IS  - Version 26 September 2013
EP  - 31
PB  - SAFE
CY  - Frankfurt am Main
ER  -