INTEREST AND PRICES: FOUNDATIONS OF A THEORY OF MONETARY POLICY
- M. Woodford, C. Walsh
- EconomicsMacroeconomic Dynamics
- 1 June 2005
With the collapse of the Bretton Woods system, any pretense of a connection of the world's currencies to any real commodity has been abandoned. Yet since the 1980s, most central banks have abandoned…
Interest and Prices
- M. Woodford
- Economics
- 12 December 2011
An Optimization-Based Econometric Framework for the Evaluation of Monetary Policy
- J. Rotemberg, M. Woodford
- EconomicsNBER macroeconomics annual
- 1 January 1997
This paper considers a simple quantitative model of output, interest rate and inflation determination in the United States, and uses it to evaluate alternative rules by which the Fed may set interest…
The Zero Bound on Interest Rates and Optimal Monetary Policy
- Gauti B. Eggertsson, M. Woodford
- Economics
- 2003
This paper considers the consequences for monetary policy of the zero floor for nominal interest rates. The zero bound can be a significant constraint on the ability of a central bank to combat…
Optimal Monetary Policy Inertia
- M. Woodford
- Economics
- 1 July 1999
This paper considers the desirability of the observed tendency of central banks to adjust interest rates only gradually in response to changes in economic conditions. It shows, in the context of a…
Simple Analytics of the Government Expenditure Multiplier
- M. Woodford
- Economics
- 1 January 2010
This paper explains the key factors that determine the effectiveness of government purchases as a means of increasing output and employment in New Keynesian models, through a series of simple…
Credit Spreads and Monetary Policy
- Vasco Cúrdia, M. Woodford
- Economics
- 1 August 2009
We consider the desirability of modifying a standard Taylor rule for a central bank's interest rate policy to incorporate either an adjustment for changes in interest rate spreads (as proposed by…
Inflation Forecasts and Monetary Policy
- B. Bernanke, M. Woodford
- Economics
- 1 September 1997
Proposals for 'inflation targeting' as a strategy for monetary policy leave open the important operational question of how to determine whether current policies are consistent with the long-run…
Interest-Rate Rules in an Estimated Sticky Price Model
- J. Rotemberg, M. Woodford
- Economics
- 1 June 1998
This paper evaluates alternative rules by which the Fed may set interest rates using the small model of the U.S. economy estimated in Rotemberg and Woodford (1997). Our main substantive finding is…
Optimal Interest-Rate Smoothing
- M. Woodford
- Economics
- 1 October 2003
This paper considers the desirability of the observed tendency of central banks to adjust interest rates only gradually in response to changes in economic conditions. It shows, in the context of a…
...
...