We analyze the optimal window length in the average inflation targeting rule within a Behavioral THANK model of Pfäuti and Seyrich (2022). The central bank faces an occasionally binding effective lower bound (ELB) or persistent supply shocks and can also use quantitative easing when we merge...

In this brief note I propose a condition called “conditional average monotonicity” that extends the average monotonicity condition from Frandsen et al. (2023) to a setting in which the instrument is only exogenous conditional on covariates. I lean on a proof from Blandhol et al. (2022) to...

Choosing the appropriate risk criterion has always been one of the main challenges for financial and economic analysts. The goal of this research is to optimize the average portfolio using a multi-layer neural network. In this research, a new model of multilayer neural network has been...