Monetary Policy, Inflation, and the Business Cycle: An Introduction to the New Keynesian Framework

By Mardi Dungey. 2009

967 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/4052ca39e617dffc7a0e605895a80bea64864326

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

In Finance

Citations in the corpus

The DOG ThaT DIDN'T BarK: haS INFLaTION BeeN MUZZLeD Or WaS IT JUST SLeepING? (2013, methodology): “For a fuller treatment of the New Keynesian theory, see Woodford (2003) and Galí (2008).”
News, Noise, and Fluctuations: An Empirical Exploration (2013, neutral): “To show that ut and u a t in (11) and (12) are indeed innovations take expectations and use (2) to obtain Et−1[ut ] = 1 1− ρt−1t = 0, Et−1[ut ] = Et−1[2t + ηt] = 0.”
The Stock Market Crash of 2008 Caused the Great Recession (2012, background): “The connection between stock market wealth and unemployment was recognized by Phelps (1999) who pointed out that the stock market boom of 1Galí (2008) provides a good introduction to the new-Keynesian paradigm.”
International Channels of Transmission of Monetary Policy and the Mundellian Trilemma (2015, neutral): “In the 3See Woodford (2003) and Gali (2008) for a precise description of the model.”
Macroeconomic Analysis Without the Rational Expectations Hypothesis (2013, neutral): “4) and Gali (2008, chap.”
Escaping the Great Recession (2017, positive): “We extend the basic new-Keynesian model employed by Clarida, Gali, and Gertler (2000), Woodford (2003), Gali (2008), and Lubik and Schorfheide (2004) to include a fiscal rule and the possibility of recurrent zero lower bound episodes.”
Understanding the flattening Phillips curve (2010, methodology): “as derived in Galı́ and Gertler (1999), where β is the discount factor, mc is the real marginal cost and λ is its coefficient.”
Using monetary policy to stabilize economic activity (2009, background): “The framework that underpins most modern policy models combines the assumption of dynamic optimizing behavior by private agents with nominal rigidities (e.g., Clarida, Galí, and Gertler 1999; Woodford 2003; Galí and Gertler 2007; Galí 2008; see also Walsh 2009, ch. 8).”
Should Monetary Policy Lean Against the Wind? An Analysis Based on a DSGE Model with Banking (2013, positive): “The inverse of the Frisch elasticity φ is set at 1 (Gaĺı, 2008).”
Imperfect Information and Aggregate Supply (2010, neutral): “ Gali (2008) gives a recent textbook presentation on these models in the context of aggregate supply.”
The Effects of Discretionary Fiscal Policy on Macroeconomic Aggregates: A Reappraisal (2011, neutral): “The setup and solution techniques of DSGE models can be found in details in DeJong and Dave (2007), Galí (2008), McCandless (2008) and Woodford (2003).”
News Driven Business Cycles: Insights and Challenges (2014, neutral): “Forni, Gambetti, Lippi, and Sala [2013b] propose to achieve identification by means of dynamic rotations of the reduced form residuals in such a case of non-fundamentalness. While a contemporaneous linear combination of the VAR residuals cannot deliver the structural shock, a dynamic combination, i.”
A Phillips Curve with Anchored Expectations and Short-Term Unemployment (2015, background): “Introduction How does unemployment affect inflation? This question has been a central topic in macroeconomics since Phillips (1958) and Samuelson and Solow (1960). Since the Great Recession of 2008-2009, economists have entered a new phase of research and debate about the unemployment-inflation rela”
Empirical Evidence on Inflation Expectations in the New Keynesian Phillips Curve (2014, methodology): “When calibrating the structural parameters of the model, we use the benchmark values on page 52 of Galí (2008).”
International Prices and Exchange Rates (2013, neutral): “A textbook treatment of this extension can be found in Gaĺı (2008).”
Individual Expectations and Aggregate Macro Behavior (2011, methodology): “We fix the parameters at the Clarida, Gali, and Gertler (2000) calibration, i.e. β = 0.99, ϕ = 1, and λ = 0.3, and we set the inflation target to π = 2.”