Uncertainty and UK Monetary Policy

Christopher Martin and Costas Milas

Working Papers from Department of Economics, City University London

Abstract: This paper provides empirical evidence on the response of monetary policymakers to uncertainty. Using data for the UK since the introduction of inflation targets in October 1992, we find evidence that the impact of inflation on interest rates is lower when inflation is more uncertain and is larger when the output gap is more uncertain. These findings are consistent with the predictions of the theoretical literature.

Keywords: monetary policy; uncertainty (search for similar items in EconPapers)
Date: 2004
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://openaccess.city.ac.uk/id/eprint/1430/1/0405_martin-milas.pdf

Related works:
Working Paper: Uncertainty and UK Monetary Policy (2005)
Working Paper: Uncertainty and UK Monetary Policy (2004)
Working Paper: Uncertainty and UK Monetary Policy (2004)
Working Paper: Uncertainty and UK Monetary Policy (2004)
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:cty:dpaper:04/05

Access Statistics for this paper

More papers in Working Papers from Department of Economics, City University London Department of Economics, Social Sciences Building, City University London, Whiskin Street, London, EC1R 0JD, United Kingdom,. Contact information at EDIRC.
Bibliographic data for series maintained by Research Publications Librarian (publications@city.ac.uk).