Optimal Simple Monetary and Fiscal Rules under Limited Asset Market Participation

Material TypeArticleLanguageEnglish
TitleOptimal Simple Monetary and Fiscal Rules under Limited Asset Market Participation Author(S)GIORGIO MOTTA (Author)
Abstract  The combination of limited asset market participation and consumption habits generates indeterminacy for empirically plausible calibrations of a business cycle model characterized by price and nominal wage rigidities. Equilibrium determinacy is restored by demand management policies based on simple fiscal rules ...Paginationp1351–1374
SubjectEconomicsDescriptorsEconomics
Journal TitleJournal of Money, Credit, and Banking  
Permanent Linksclick here