Optimal control of the money supply
AbstractUsing optimal control theory and a vector autoregressive representation of the relationship between money and interest rates, one can derive a feedback control procedure which defines the best possible tradeoff between money supply fluctuations and interest rate volatility and which could be used to reduce both from their current levels.
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Bibliographic InfoPaper provided by Federal Reserve Bank of Minneapolis in its series Staff Report with number 82.
Date of creation: 1983
Date of revision:
Other versions of this item:
- NEP-ALL-2002-03-14 (All new papers)
- NEP-CBA-2002-03-14 (Central Banking)
- NEP-MON-2002-03-14 (Monetary Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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"Business cycle modeling without pretending to have too much a priori economic theory,"
55, Federal Reserve Bank of Minneapolis.
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- Paul A. Anderson, 1979. "Help for the regional economic forecaster: vector autoregression," Quarterly Review, Federal Reserve Bank of Minneapolis, issue Sum.
- Bodenhorn, Howard, 2008.
"Free banking and bank entry in nineteenth-century New York,"
Financial History Review,
Cambridge University Press, vol. 15(02), pages 175-201, October.
- Howard Bodenhorn, 2004. "Free Banking and Bank Entry in Nineteenth-Century New York," NBER Working Papers 10654, National Bureau of Economic Research, Inc.
- Robert B. Litterman, 1984. "Forecasting and policy analysis with Bayesian vector autoregression models," Quarterly Review, Federal Reserve Bank of Minneapolis, issue Fall.
- Bennett T. McCallum, 1982.
"Macroeconomics after a decade of rational expectations : some critical issues,"
Federal Reserve Bank of Richmond, issue Nov, pages 3-12.
- Bennett T. McCallum, 1982. "Macroeconomics After a Decade of Rational Expectations: Some Critical Issues," NBER Working Papers 1050, National Bureau of Economic Research, Inc.
- David Andolfatto, 2005.
"On the Coexistence of Money and Bonds,"
2005 Meeting Papers
9, Society for Economic Dynamics.
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