RDP 8905: Monetary Policy Instruments: A Theoretical Analysis Equation

p t = γ 1+γ p t * + 1 α( 1+γ ) u t + 1 1+γ E t p t+1 * MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaaiiCamaaBa aaleaacaqG0baabeaakiabg2da9maalaaabaGaae4Sdaqaaiaaigda cqGHRaWkcaqGZoaaaiaabchadaWgaaWcbaGaamiDaaqabaGcdaahaa WcbeqaaiaacQcaaaGccqGHRaWkdaWcaaqaaiaaigdaaeaacaqGXoWa aeWaaeaacaaIXaGaey4kaSIaae4SdaGaayjkaiaawMcaaaaacaqG1b WaaSbaaSqaaiaabshaaeqaaOGaey4kaSYaaSaaaeaacaaIXaaabaGa aGymaiabgUcaRiaabo7aaaGaaeyramaaBaaaleaacaqG0baabeaaki aabchadaWgaaWcbaGaaeiDaiabgUcaRiaaigdaaeqaaOWaaWbaaSqa beaacaGGQaaaaaaa@54BB@