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The information content of the neutral rate of interest

Michał Brzoza-Brzezina
Authors registered in the RePEc Author Service: Michal Brzoza-Brzezina

The Economics of Transition, 2006, vol. 14, issue 2, pages 391-412

Abstract: The concept of the neutral rate of interest has recently received much attention from economists. In this paper, we estimate the neutral rate of interest in Poland. We show how it can yield important information for a central banker. In particular, estimation of the neutral rate can be helpful for monetary authorities seeking to stabilize inflation after a long process of disinflation. We also suggest possible explanations for the relatively high level of the neutral rate in Poland. Copyright (c) The European Bank for Reconstruction and Development, 2006.

Date: 2006
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