EconPapers    
Economics at your fingertips  
 

Structural changes in the US economy: Is there a role for monetary policy?

Fabio Canova () and Luca Gambetti ()

Journal of Economic Dynamics and Control, 2009, vol. 33, issue 2, 477-490

Abstract: This paper investigates the contribution of monetary policy to the changes in output growth and inflation dynamics in the US. We identify a policy shock and a policy rule in a time-varying coefficients VAR using robust sign restrictions. The transmission of policy shocks has been relatively stable. The variance of the policy shock has decreased over time, but policy shocks account for a small fraction of the level and the variations in inflation and output growth volatility and persistence. Finally we find little evidence of a significant increase in the long run response of the interest rate to inflation.

Keywords: Monetary; policy; Inflation; persistence; Transmission; of; shocks; Time-varying; coefficients; structural; VARs (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (121) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0165-1889(08)00141-3
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Structural changes in the US economy: is there a role for monetary policy? (2008) Downloads
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: https://EconPapers.repec.org/RePEc:eee:dyncon:v:33:y:2009:i:2:p:477-490

Access Statistics for this article

Journal of Economic Dynamics and Control is currently edited by J. Bullard, C. Chiarella, H. Dawid, C. H. Hommes, P. Klein and C. Otrok

More articles in Journal of Economic Dynamics and Control from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2019-08-20
Handle: RePEc:eee:dyncon:v:33:y:2009:i:2:p:477-490