Miller, Stephen M.; Yuan, Huiping - Department of Economics, University of Connecticut - 2007
, using discretion with the central bank long-run and short-run loss functions, and following monetary policy rules. All lead … long-run and short-run loss functions) and monetary policy rules imply a complete regime for optimal policy making. The … central bank long-run and short-run loss functions that produce the optimal policy with discretion differ from the social loss …