TY  - UNPD
A1  - Meyer-Gohde, Alexander
A1  - Tzaawa-Krenzler, Mary
T1  - Sticky information and the Taylor rule
N2  - We present determinacy bounds on monetary policy in the sticky information model. We find that these bounds are more conservative here when the long run Phillips curve is vertical than in the standard Calvo sticky price New Keynesian model. Specifically, the Taylor principle is now necessary directly - no amount of output targeting can substitute for the monetary authority’s concern for inflation. These determinacy bounds are obtained by appealing to frequency domain techniques that themselves provide novel interpretations of the Phillips curve.
T3  - Working paper series / Institute for Monetary and Financial Stability - 189 
KW  - Determinacy
KW  - Taylor Rule
KW  - Sticky Information
KW  - Frequency Domain
KW  - z-Transform
Y1  - 2023
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/71207
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-712072
UR  - https://www.imfs-frankfurt.de/forschung/imfs-working-papers/details.html?tx_mmpublications_publicationsdetail%5Bcontroller%5D=Publication&tx_mmpublications_publicationsdetail%5Bpublication%5D=449&cHash=12d68818dd82989fcc4b3ee740e5ddc4
N1  - This research was supported by the DFG through grant nr. 465469938 “Numerical diagnostics and improvements for the solution of linear dynamic macroeconomic models”.
PB  - Johann Wolfgang Goethe-Univ., Inst. for Monetary and Financial Stability
CY  - Frankfurt am Main
ER  -