Barrell, Ray; Becker, Bettina; Byrne, Joseph P.; … - 2003 - [Elektronische Ressource]
countries, and we adopt the
same feedback parameters. Of course we could implement a Taylor rule for the USA,
an inflation … monetary authorities in the Euro Area, the USA, the UK, Sweden,
Denmark, Norway, Switzerland, Canada, Japan, and Australia and … exported (S).
The dynamic equation for each country consequently takes the general form:
∆X
t
= λ[X
t-1
- S
t-1
+ b*RPX
t …