Skip to content
RDP 8708: Risk Effects Versus Monetary Effects in the Determination of Short-Term Interest Rates
Equation (3)
log
b
t
*
(
k
)
=
−
γ
E
t
(
log
x
t+k
−
log
x
t
)
−
BE
t
(
log
p
t+k
−
log
p
t
)
+
k
log
β
+
θ
t
(
k
)
MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaaeiBaiaab+ gacaqGNbGaaGPaVlaabkgadaqhaaWcbaGaaeiDaaqaaiaabQcaaaGc daqadaqaaiaabUgaaiaawIcacaGLPaaacaaMc8UaaeypaiaaykW7cq GHsislcaqGZoGaaGPaVlaabweadaWgaaWcbaGaaeiDaaqabaGcdaqa daqaaiaabYgacaqGVbGaae4zaiaaykW7caqG4bWaaSbaaSqaaiaabs hacaqGRaGaae4AaaqabaGccaaMc8UaeyOeI0IaaGPaVlaabYgacaqG VbGaae4zaiaaykW7caqG4bWaaSbaaSqaaiaabshaaeqaaaGccaGLOa GaayzkaaGaaGPaVlabgkHiTiaaykW7caqGcbGaaeyramaaBaaaleaa caqG0baabeaakmaabmaabaGaaeiBaiaab+gacaqGNbGaaGPaVlaabc hadaWgaaWcbaGaaeiDaiaabUcacaqGRbaabeaakiaaykW7cqGHsisl caaMc8UaaeiBaiaab+gacaqGNbGaaGPaVlaabchadaWgaaWcbaGaae iDaaqabaaakiaawIcacaGLPaaacaaMc8Uaae4kaiaaykW7caqGRbGa aGPaVlaabYgacaqGVbGaae4zaiaaykW7caqGYoGaaGPaVlaabUcaca aMc8UaaeiUdmaaBaaaleaacaqG0baabeaakmaabmaabaGaae4AaaGa ayjkaiaawMcaaaaa@8C65@