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dc.contributor.authorBarbosa, Fernando de Holanda
dc.date.accessioned2018-09-06T13:43:21Z
dc.date.available2018-09-06T13:43:21Z
dc.date.issued2018-04
dc.identifier.issn0104-8910
dc.identifier.urihttp://hdl.handle.net/10438/24717
dc.description.abstractThis paper analyzes the solutions of the canonical and hybrid New Keynesian IS curve difference equation. It shows that the usual forward solution is ruled out because it is at odds with the underlying economic theory. This implies that current and expected future real interest rates do not matter for the determination of the current output gap. Indeed, the new Keynesian IS curve has multiple backward solutions and determines not the level of the output gap, as does the traditional IS curve, but its expected rate of change. The paper also shows that the hybrid IS has (multiple) backward solutions regardless the size of the forward coefficient.eng
dc.language.isopor
dc.publisherEscola de Pós-Graduação em Economia da FGVpor
dc.relation.ispartofseriesEnsaios Econômicos;797por
dc.subjectNew Keynesian modelseng
dc.subjectIS curveeng
dc.subjectTransversality conditioneng
dc.subjectForward and backward solutionseng
dc.subjectUnique and multiple rational expectations equilibriumeng
dc.titleIs the new keynesian is curve forward looking?eng
dc.typeTechnical Reporteng
dc.subject.areaEconomiapor
dc.contributor.unidadefgvEscolas::EPGEpor
dc.subject.bibliodataEconomia keynesianapor
dc.subject.bibliodataPolítica monetáriapor
dc.contributor.affiliationFGV


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