Unconditionally optimal monetary policy

Tatiana Damjanovic, Vladislav Damjanovic, Charles Nolan

    Research output: Working paper


    We develop a simple and intuitive approach for analytically deriving unconditionally optimal (UO) policies, a topic of enduring interest in optimal monetary policy analysis. The approach can be employed to both general linear-quadratic problems and to the underlying non-linear environments. We provide a detailed example using a canonical New Keynesian framework.
    Original languageEnglish
    PublisherUniversity of St Andrews
    Publication statusPublished - 15 Oct 2007

    Publication series

    NameCentre for Dynamic Macroeconomic Analysis, Working Paper


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