Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
965841 | Journal of Macroeconomics | 2011 | 17 Pages |
Abstract
⺠Asymmetric information between the Fed and the public can cause the price puzzle. ⺠Under asymmetric information a rise in the federal funds rate is perceived as a signal that inflation and output will be higher in the future. ⺠Calibrated model presents that the price puzzle only exist under asymmetric information. ⺠The VAR analysis confirms the theoretical findings.
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Bedri Kamil Onur Tas,