Monetary Policy and Rational Asset Price Bubbles: Comment

• 成果类型: Article
• 署名作者: Allen, Franklin; Barlevy, Gadi; Gale, Douglas
• 署名单位: Imperial College London; Federal Reserve System - USA; Federal Reserve Bank - Chicago; New York University
• 刊物名称: AMERICAN ECONOMIC REVIEW
• ISSN/ISSBN: 0002-8282
• DOI: 10.1257/aer.20230983
• 发表日期: 2025
• 页码: 2819-2847
• 关键词: SURPRISES

摘要

Gall (2014) showed that a monetary policy rule that raises rates when bubbles exceed some steady-state benchmark can paradoxically lead to larger deviations from steady state. Nevertheless, this comment shows that a central bank can always dampen a bubble by setting a higher-than-expected rate, although it may have to raise the rate aggressively. This is a different point from the Miao, Shen, and Wang (2019) comment on Gall (2014). They showed that when the central bank targets a different steady state than Gall considered, raising rates when bubbles exceed this alternative benchmark leads to smaller deviations from steady state. (JEL E13, E32, E44, E52, G12)