RDP 9807: Inflation Targeting in a Small Open Economy Equation (2A)

π t N = π t1 N +α y t1 + β 1 Δ e t1 + β 2 Δ e t2 + ε t N MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaeqiWda3aa0 baaSqaaiaadshaaeaacaWGobaaaOGaeyypa0JaeqiWda3aa0baaSqa aiaadshacqGHsislcaaIXaaabaGaamOtaaaakiabgUcaRiabeg7aHj aadMhadaWgaaWcbaGaamiDaiabgkHiTiaaigdaaeqaaOGaey4kaSIa eqOSdi2aaSbaaSqaaiaaigdaaeqaaOGaeuiLdqKaamyzamaaBaaale aacaWG0bGaeyOeI0IaaGymaaqabaGccqGHRaWkcqaHYoGydaWgaaWc baGaaGOmaaqabaGccqqHuoarcaWGLbWaaSbaaSqaaiaadshacqGHsi slcaaIYaaabeaakiabgUcaRiabew7aLnaaDaaaleaacaWG0baabaGa amOtaaaaaaa@5C34@