Tight -Money-Tight Credit: Coordination Failure in the Conduct of Monetary and Financial Policies

• 成果类型: Article
• 署名作者: Carrillo, Julio A.; Mendoza, Enrique G.; Nuguer, Victoria; Roldan-Pena, Jessica
• 署名单位: Bank of Mexico; University of Pennsylvania; Inter-American Development Bank
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MACROECONOMICS
• ISSN/ISSBN: 1945-7707
• DOI: 10.1257/mac.20180321
• 发表日期: 2021
• 页码: 37-73
• 关键词: Macroprudential policy; MODEL

摘要

Violations of Tinbergen's rule and strategic interaction undermine stabilization policies in a New Keynesian model with the Bernanke-Gertler accelerator. Welfare costs of risk shocks are large because of efficiency losses and income effects of costly monitoring, but they are much larger under a simple Taylor rule (STR) or a Taylor rule augmented with credit spreads (ATR) than with a Taylor rule and a separate financial rule targeting spreads. ATR and STR are tight -money-tight credit regimes responding too much (little) to inflation (spreads). The Nash equilibrium of monetary and financial policies is also tight -money-tight credit but it dominates ATR and STR.