RDP 2013-11: Issues in Estimating New-Keynesian Phillips Curves in the Presence of Unknown Structural Change
Equation (1)
π
t
=
(
1
−
s
)
π
¯
t
−
δ
x
¯
t
+
α
π
t
−
1
+
γ
E
t
π
t
+
1
+
δ
x
t
+
ε
1
t
MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=xb9adbaqaaeaaciGaaiaabeqaamaabaabaaGcbiqaaWOfcqaHapaCdaWgaaWcbaGaamiDaaqabaGccqGH9aqpdaqadaqaaiaaigdacqGHsislcaWGZbaacaGLOaGaayzkaaGafqiWdaNbaebadaWgaaWcbaGaamiDaaqabaGccqGHsislcqaH0oazceWG4bGbaebadaWgaaWcbaGaamiDaaqabaGccqGHRaWkcqaHXoqycqaHapaCdaWgaaWcbaGaamiDaiabgkHiTiaaigdaaeqaaOGaey4kaSIaeq4SdC2efv3ySLgznfgDOjdaryqr1ngBPrginfgDObcv39gaiuaaqaaaaaaaaaWdbiab=ri8fnaaBaaaleaacaWG0baabeaakiabec8aWnaaBaaaleaacaWG0bGaey4kaSIaaGymaaqabaGccqGHRaWkcqaH0oazcaWG4bWaaSbaaSqaaiaadshaaeqaaOGaey4kaSIaeqyTdu2aaSbaaSqaaiaaigdacaWG0baabeaaaaa@6AFF@