Bubble-free policy feedback rules

• 成果类型: Article
• 署名作者: Loisel, Olivier
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2008.11.011
• 发表日期: 2009
• 页码: 1521-1559
• 关键词: Linear dynamic rational-expectations models; Policy feedback rules; Rational bubbles; Saddle-path property; Interest-rate rules; Local determinacy; Global determinacy

摘要

We consider a broad class of linear dynamic stochastic rational-expectations models made of a finite number N of structural equations for N + 1 endogenous variables and to be closed by one policy feedback rule. We design, for any model of this class and any stationary VARMA solution of that model, a bubble-free policy feedback rule ensuring that this solution is not only the unique stationary solution of the closed model, but also its unique solution. We apply these results to locally linearisable models of the monetary transmission mechanism and obtain interest-rate rules that not only ensure the local determinacy of the targeted equilibrium in the neighbourhood of the steady state considered, but also prevent the economy from gradually leaving this neighbourhood. (C) 2008 Elsevier Inc. All rights reserved.