Title: What Does Monetary Policy Do?
Author: Leeper, Eric M.; Sims, Christopher A.; Zha, Tao
Author Affiliation: IN U; Yale U; Federal Reserve Bank of Atlanta
Source: Brookings Papers on Economic Activity, 1996, v. 0, iss. 2, pp. 1-63
Publication Date: 1996
Abstract: This paper uses a single time frame and data set to present and analyze the results that have emerged from the recent empirical literature on the effects of monetary policy. It uses statistical methods that allow the analysis of larger models that appear previously in this literature. Monetary policy actions are shown to be largely systematic responses to the state of the economy. Consequently, there is more uncertainty about the effects of monetary policy than might be thought on the basis of simple graphical or narrative approaches to assessing the evidence.
Descriptors: Domestic Monetary Theory; Empirical Studies Illustrating Theory
Time Series and Spectral Analysis
Econometric and Statistical Methods and Models: Multivariate Analysis, Statistical Information Theory, and Other Special Inferential Problems; Queuing Theory; Markov Chains
Inferential Problems in Simultaneous Equation Systems
Monetary Policy (Targets, Instruments, and Effects)
Econometric Methods: Multiple/Simultaneous Equation Models: Time-Series Models
Geographic Descriptors: U.S.
ISSN: 00072303
Publication Type: Journal Article
Availability: http://www.brookings.org/es/commentary/journals/bpea