RDP 2009-01: Currency Misalignments and Optimal Monetary Policy: A Re-examination
Equation (B64)
a
t
+
n
t
=
ν
2
(
c
H
t
+
ξ
2
σ
P
H
t
2
)
+
(
2
−
ν
2
)
(
c
H
t
∗
+
ξ
2
σ
p
H
∗
t
2
)
+
1
2
(
ν
2
)
(
2
−
ν
2
)
(
c
H
t
2
+
2
c
H
t
c
H
t
∗
+
c
H
t
∗
2
)
+
o
(
‖
a
3
‖
)
.
MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=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@8A33@