Bullard, James B.; Evans, George W.; Honkapohja, Seppo - Federal Reserve Bank of St. Louis - 2007
equilibria, in the New Keynesian monetary policy framework. Inclusion of judgment in forecasts can lead to self … codes: E520, E610.
Key words: Learning, expectations, excess volatility, bounded ra-
tionality, monetary policy.
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An early … version of this paper, titled “Near-Rational Exuberance,” was presented at
the 2004 ECB Conference “Monetary Policy and …