Sunday, November 8, 2015

Monetary Policy Rules

FRED codes: UNRATE, PCEPILFE,  PCEPI, GDPCI, GDPPOT

Mankiw Rule: i = 8.5 + 1.4(inflation - unemployment rate)

Taylor Rule: i = 2 + inflation + 0.5(inflation - 2) + 0.5(output gap)


2 comments:

  1. The current standing regarding the policy is hard to guess up, so we got to be extremely careful with how we work out with doing things. I always keep all these things straight forward, it helps a lot with broker like OctaFX, as they are special with having daily market news and updates, it enables me to perform well. I also like it to do with the free part and yet it is highly effective which makes it so much like able!

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  2. I don’t think at this stage it is just about Monetary Policy, I feel there is much bigger picture to look at with NFP ahead and with rate hike too coming into play, it’s all to look forward at. I least worry over it due to http://www.tradewisefx.com/ and with their brilliant set of schemes having zero spread, faster than light execution and 50% bonus to help out with margins! It all works beautifully!

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