The Monetary Policy Rule in Australia:Does the RBA Target Inflation Only?
0
조회
0
다운로드
0
인용
0
참고문헌
초록
Abstract
This paper estimates a simple monetary policy reaction function for Australia. Although the reaction function is rather simple, it is shown to be able to capture the essential elements across different policy regimes. The empirical findings mostly corroborate the RBA’s own claims made through Reserve Bank Report and Financial Statements. During the pre-inflation targeting period (1985-1992), the RBA targeted external factors such as the current account deficit and the Federal Funds Rate, in addition to inflation. Over time, the policy focus has, however, become directed explicitly towards price stability. During the post announcement period (1990-1999), the RBA targeted only future inflation up to one-year ahead. As the forecast horizon became longer than one year, however, the RBA targeted short-run output fluctuations in order to allow medium-run expected inflation to adjust rather slowly to the medium-run target. The results show that, in a flexible inflation targeting regime, medium-term price stability can be maintained while allowing some scope for targeting output variability.
참고문헌 (21)
- Battellino,R, "The Implementation of Monetary Policy in Australia Reserve Bank of Australia" (1997)
- Clarida, R, "？Monetary Policy in Practice", pp.1033~1067 (1998)
- Cumby, "？Two-Step Two-Stage Least Squares Estimation in Models with Rational Expectations ？", 21, pp.333~355 (1983)
- Debelle, G, "Inflation Targeting and Output Stabilization" (1999)
- D. Gruen, "The Case for Inflation Targeting in East Asian Countries", pp.65~87 (2001)
- de Brouwer, G, "Some Evidence and Implications for Policy Reserve Bank of Australia." (1998)
- Dungey, M, "？A Structural VAR Model of the Australia Economy", 76, pp.321~342 (2000)
- Grenville, S, "The Evolution of Monetary Policy From Money Targets to Inflation Targets", pp.125~158 (1997)
- Gruen D, "The Lags of Monetary Policy Reserve Bank of Australia." (1997)
- Haldane, A. G, "Monetary Policy and Inflation Targeting, Proceedings of a Conference, Reserve Bank of Australia" (1997)
- Hansen, L, "Large Sample Properties of Generalized Method of Moments Estimators", ？ eco(metrica 50), pp.1029~1054 (1982)
- Johnston, "？ Reserve Bank of Australia Bulletin June Reserve Bank of Australia.", pp.807~813 (1985)
- Judd, J. P, "Federal Reserve Bank of San Francisco.", pp.3~16 (1998)
- Lowe, P, "The Smoothing of Official Interest Rates", pp.286~312 (1997)
- Macfarlane,I. J, "？Methods of Monetary Control in Australia The Economics and Management of Financial Institutions", pp.603~616 (1987)
- Nelson, E, "Guide Using Taylor Rules, Mimeo, Bank of England" (2000)
- "The Limits to Rational Expectations" (1988), Basil Blackwell.
- "The Exchange Rate and The Reserve Bank？s Role in the Foreign Exchange Market Seminar for Teachers Reserve Bank of Australia" (1998)
- "Proceedings of a Conference Reserve Bank of Australia", pp.212~237 (1997)
- "Inflation Forecasting Targeting:Implementing and Monitoring Inflation Targets.", 41, pp.1111~1146 (1997)
- "Discretion versus Policy Rules in Practice ？ Carnegie-Rochester Conference Series on Public Policy 39"