Publication Date
1-1-1981
Abstract
Using the reduced form equation of the St. Louis Fed's monetarist macroeconomic model, we examine the sensitivity of monetary and fiscal policy elasticity estimates to the empirical estimation technique, to the assumed lengths of policy lags, and. to the time period studied. The empirical results are not very sensitive to the first two factors, but the results are quite sensitive to the time period examined. Two plausible explanations for the divergent results are considered and examined and the implications of the divergent results for the usefulness of the St. Louis model is discussed •
Document Type
Article
Keywords
federal reserve bank, model, reliability, policy lags, monetary policy, fiscal policy
Disciplines
Business
Extent
23 pages
Format
Rights
The files in this collection are protected by copyright law. No commercial reproduction or distribution of these files is permitted without the written permission of Southern Methodist University, Cox Business School. These files may be freely used for educational purposes, provided they are not altered in any way, and Southern Methodist University is cited. For more information, contact ncds@smu.edu.
Language
English
