bank to respond more aggressively to shocks than if the parameter were known with certainty, since the central bank wants …

response is central bank private information about the state of the economy or about its own target for inflation. …

Economic outcomes in dynamic economies with forward-looking agents depend crucially on whether or not the central bank … models, using a range of reasonable central bank preference parameters, the inflation equivalent ranges from 0.05 to 3 …

, the central bank should rely more on money growth rules. … monetary policy rules. Initially, the instrument in the policy rule was a monetary aggregate - a quantity, usually the money …