Buy this book
"The optimal policy response to a low-probability extreme event is examined. A simple policy problem is solved for a sequence of different loss functions: quadratic, combined quadratic/absolute-deviation, absolute-deviation, combined quadratic/constant, and perfectionist. The paper shows that, under some simplifying assumptions, each of these loss functions puts less weight on a low-probability extreme event than the previous one, down to the quadratic/constant and perfectionist loss functions, which completely ignores the low-probability extreme event. The case when the size of the extreme shock is endogenous and depends on the policy is also examined. This introduces an additional effect on the optimal policy except for the combined quadratic/constant and the perfectionist loss functions"--National Bureau of Economic Research web site.
Buy this book
Subjects
Mathematical models, Monetary policyShowing 2 featured editions. View all 2 editions?
Edition | Availability |
---|---|
1
Optimal policy with low-probability extreme events
2003, National Bureau of Economic Research
Electronic resource
in English
|
aaaa
|
2
Optimal policy with low-probability extreme events
2003, National Bureau of Economic Research
in English
|
zzzz
Libraries near you:
WorldCat
|
Book Details
Edition Notes
Also available in print.
Includes bibliographical references.
Title from PDF file as viewed on 1/27/2005.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.
Classifications
The Physical Object
ID Numbers
Community Reviews (0)
Feedback?December 13, 2020 | Edited by MARC Bot | import existing book |
February 12, 2010 | Edited by WorkBot | add more information to works |
December 10, 2009 | Created by WorkBot | add works page |