• DocumentCode
    2651486
  • Title

    Money Policy in Dynamic Stochastic General Equilibrium Models

  • Author

    Liu, Yang ; Li, Li

  • Author_Institution
    Sch. of Econ., Central of China Normal Univ., Wuhan
  • fYear
    2009
  • fDate
    1-2 Feb. 2009
  • Firstpage
    406
  • Lastpage
    409
  • Abstract
    By using the quarterly data of 1996-2005 in China, we use a dynamic stochastic general equilibrium modeling framework to compare the different design of monetary policy: an interest rate feedback rule and a money growth rule. Drawing on our econometric analysis, we argue that model, closed with interest rate feedback rule comes closer to the data. The paper also suggests to incorporate the sticky price property and fiscal policy to explain the economy better.
  • Keywords
    econometrics; economic indicators; stochastic processes; dynamic stochastic general equilibrium; econometric analysis; fiscal policy; interest rate feedback rule; monetary policy; money growth rule; sticky price property; Asia; Automatic control; Centralized control; Economic indicators; Feedback; Informatics; Macroeconomics; Microeconomics; Robotics and automation; Stochastic processes; Dynamic Stochastic General Equilibrium Model; MIU; Money Policy;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Informatics in Control, Automation and Robotics, 2009. CAR '09. International Asia Conference on
  • Conference_Location
    Bangkok
  • Print_ISBN
    978-1-4244-3331-5
  • Type

    conf

  • DOI
    10.1109/CAR.2009.103
  • Filename
    4777268