Galí, Jordi; Salido, J. David López; Vallés, Javier - Banco de España - 2003
can change dramatically the properties of widely used interest rate rules. In particular, the existence of a unique … equilibrium is no longer guaranteed by an interest rate rule that satisfies the so called Taylor principle. Our findings call for … caution when using estimates of interest rate rules in order to assess the merits of monetary policy in specific historical …