new-keynesian

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2 published entries by 1 member, in Inflation Targeting and Expectations, Monetary Policy Rules and the Policy Stance

The Phillips curve

The New Keynesian Phillips curve, why the curve looked flat for twenty years, the state-level evidence, and the nonlinearity that returned in 2021.

The Taylor principle and determinacy

Why the coefficient on inflation has to exceed one, shown in the three-equation New Keynesian model.