#1998-002D "Central Bank Design in General Equilibrium"
by James B. Bullard, and Christopher J. Waller

Revised January 2002

We study the effects of alternative institutional arrangements for the determination of monetary policy in the context of a capital-theoretic, general equilibrium economy. In the absence of an institutional arrangement, there is a continuum of steady state equilibria indexed by rates of inflation ranging from the Friedman rule to high a high level. More...

PUBLISHED: Journal of Money, Credit, and Banking, February 2004, 36(1), pp. 95-114