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An Empirical Study of Interest Rate Determination Rules

Listed author(s):
  • Keshab Raj Bhattarai

This paper finds empirical support for a Taylor (1993) type interest rate determination rule. The model is solved analytically, estimated and used for simulation, impulse response analyses and forecasting with quarterly time series data for the UK and annual time series data for Germany, France, Japan, the UK and the US. The results confirm that such rules implicitly exists during the period of analysis.

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Paper provided by EcoMod in its series EcoMod2006 with number 272100011.

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Handle: RePEc:ekd:002721:272100011
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