Levine, Paul (contributor); McAdam, Peter (contributor); … - 2007
studies, we find significant stabilization gains from commitment: our central estimate is a 0.4 - 0.5% equivalent permanent …-
portantly, we impose the effect of a nominal interest rate zero lower bound. In contrast
with previous studies, we find …
missing from these earlier studies, is the existence of a nominal interest rate zero lower
6
ECB
Working Paper Series No 709 …