Testing the Opportunistic Approach to Monetary Policy

Please use this identifier to cite or link to this item: http://bura.brunel.ac.uk/handle/2438/709

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DC Field	Value	Language
dc.contributor.author	Martin, C	-
dc.contributor.author	Milas, C	-
dc.coverage.spatial	32	en
dc.date.accessioned	2007-04-19T14:25:33Z	-
dc.date.available	2007-04-19T14:25:33Z	-
dc.date.issued	2006	-
dc.identifier.citation	Brunel Business School Economics and Finance Working Papers, 06/2006	en
dc.identifier.uri	http://bura.brunel.ac.uk/handle/2438/709	-
dc.description.abstract	The Opportunistic Approach to Monetary Policy is an influential but untested model of optimal monetary policy. We provide the first tests of the model, using US data from 1983Q1-2004Q1. Our results support the Opportunistic Approach. We find that policymakers respond to the gap between inflation and an intermediate target that reflects the recent history of inflation. We find that there is no response of interest rates to inflation when inflation is within 1% of the intermediate target but a strong response when inflation is further from the intermediate target.	en
dc.format.extent	203543 bytes	-
dc.format.mimetype	application/pdf	-
dc.language.iso	en	-
dc.publisher	Brunel University	en
dc.relation.ispartofseries	Brunel Business School;Brunel Business School Working Papers	-
dc.subject	Monetary policy	en
dc.subject	Zone of discretion	en
dc.subject	Intermediate inflation target	en
dc.title	Testing the Opportunistic Approach to Monetary Policy	en
dc.type	Working Paper	en
Appears in Collections:	Economics and Finance Brunel Business School Research Papers Dept of Economics and Finance Research Papers

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