Rational expectations are often used as an argument against policy activism, as they may undermine or neutralize the policymaker’s actions. Although this sometimes happens, rational expectations do not always imply policy invariance or ineffectiveness. In fact, in certain circumstances...

This paper outlines the evolution of the theory of economic policy from the classical contributions of Ragnar Frisch, Ian Tinbergen, Bent Hansen, Henri Theil to recent work in the field of strategic interaction. The new, emerging theory of economic policy, albeit rooted in the classical...

In this paper we investigate the foundations of forward guidance in the light of the theory of controllability in a strategic context. The announcement of future suitable policies can facilitate the control of the economic system by the policymaker, where the term 'control' is used in the sense...

In this paper we aim at two targets: i) to look for the theoretical roots of the EMU institutions and to check whether the current economic doctrine still supports them; ii) to discuss the appropriateness of these institutions and the policies adopted by European policymakers in order to exit...