Constant-Interest-Rate Projections and Its Indicator Properties

Número: 
696
Publicado: 
Clasificación JEL: 
E37, E47, E52
Palabras clave: 
Monetary policy, constant-interest-rate projections, modest policy interventions, Inflation Targeting

This paper propose indicator variables for the implementation of monetary policy in an inflation targeting regime. Using constant interest rate projections, the notion of a target-compatible interest rate is presented. This variable allows to extract some