FURTHER EVIDENCE ON BREAKING TREND FUNCTIONS IN MACROECONOMICS VARIABLES

Monetary Policy during a Transition to Rational Expectations

In standard macroeconomic models incorporating the natural rate hypothesis and rational expectations, monetary policy has no effect on real variables. But the rational expectati...

Monetary Policy Lessons of Recent Inflation and Disinflation

I will consider the monetary policy lessons of the recent inflation and disinflation. The next section of this paper is devoted to the decline of M1 velocity after 1981 and the ...

Macroeconomic time-series, business cycles and macroeconomic policies

Monetary Policy According to HANK

We revisit the transmission mechanism from monetary policy to household consumption in a Heterogeneous Agent New Keynesian (HANK) model. The model yields empirically realistic d...

Macroeconomics and Reality

Existing strategies for econometric analysis related to macroeconomics are subject to a number of serious objections, some recently formulated, some old. These objections are su...