RDP 2011-02: Long-term Interest Rates, Risk Premia and Unconventional Monetary Policy Equation

y t = S 0 + S 1 y t 1 + S 2 ε t . MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaaeaaaaaaaaa8 qacaqG5bWaaSbaaSqaaiaadshaaeqaaOGaeyypa0Jaam4uamaaBaaa leaacaaIWaaabeaakiabgUcaRiaadofadaWgaaWcbaGaaGymaaqaba GccaqG5bWaaSbaaSqaaiaadshacqGHsislcaaIXaaabeaakiabgUca RiaadofadaWgaaWcbaGaaGOmaaqabaGccqaH1oqzdaWgaaWcbaGaam iDaaqabaGccaGGUaaaaa@47C1@