A 'Timeless Perspective' on Optimality in Forward-Looking Rational Expectations Models

Andrew Peter Blake ()

No 30, Royal Economic Society Annual Conference 2002 from Royal Economic Society

Abstract: This paper discusses the 'timeless perspective' optimisation concept with reference to a much-studied forward-looking rational expectations model. We establish that this policy, as usually described, is not always superior to a time consistent alternative on the basis of the stochastic equilibrium. We derive an alternative 'timelessly optimal' rule which is globally optimal with respect to the unconditional variance and is therefore more supportable as a time consistent equilibrium.

Date: 2002-08-29
View citations in EconPapers

Downloads: (external link)
http://repec.org/res2002/Blake.pdf full text

Related works:
Working Paper: A `Timeless Perspective' on Optimality in Forward-Looking Rational Expectations Models (2001)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:ecj:ac2002:30

Access Statistics for this paper

More papers in Royal Economic Society Annual Conference 2002 from Royal Economic Society
Contact information at EDIRC.
Series data maintained by Christopher F. Baum ().