Buba study on robustness of monetary policy
A Bundesbank paper published on Monday identifies three areas of misspecification that central banks fear could undermine the robustness of interest rate pass-through effects.
Rafael Gerke and Felix Hammermann, the paper's authors, employ as a reference model a version of the New Keynesian model to study how a central bank in an economy with imperfect interest rate pass-through conducts monetary policy if it fears that its model could be misspecified.
Gerke and Hammermann make three important
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