All Rights Reserved
AccessEcon LLC 2006, 2008.
Powered by MinhViet JSC
ralph lauren polo

Jahyun Koo, Ivan Paya and David A. Peel
''Further empirical evidence of nonlinearity in the us monetary policy rule''
( 2010, Vol. 30 No.3 )
Given conflicting results on whether the US monetary policy rule exhibited nonlinearity in the post-war period we employ a new Granger non-causality nonlinearity test and non-parametric procedures to re-examine the issue. Both procedures suggest that the Fed followed a nonlinear Taylor rule with respect to expected inflation and expected output gap prior to 1979 but not post 1982.
Keywords: Taylor rule, nonlinearity, Granger non-causality nonlinearity, non-parametric
JEL: E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit: General
C2 - Single Equation Models; Single Variables: General
Manuscript Received : May 19 2010 Manuscript Accepted : Sep 23 2010

  This abstract has been downloaded 1826 times                The Full PDF of this paper has been downloaded 149391 times