IDEAS home Printed from https://ideas.repec.org/p/nsr/niesrd/360.html
   My bibliography  Save this paper

The Non-Transparency of Timeless Rules

Author

Listed:
  • Brian Henry

Abstract

We address the usefulness of both fully optimal and optimal rules in a timeless perspective. We prove the existence of a determinate representation, which complements the Dennis (2010) observation that the optimal rule may be written in multiple ways, and note that it cannot therefore be estimated by econometricians. We show that this multiplicity problem cannot be resolved by appeal to robustly optimal policy as claimed by Woodford, nor by providing the private sector with the optimal conditions, as the latter may lead to loss of reputation if these are interpreted, as they are likely to be, as optimal policy. We relate this to the transparency of central banks, which is now regarded as the main guarantee of commitment by these bodies.

Suggested Citation

  • Brian Henry, 2010. "The Non-Transparency of Timeless Rules," National Institute of Economic and Social Research (NIESR) Discussion Papers 360, National Institute of Economic and Social Research.
    • Handle: RePEc:nsr:niesrd:360
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nsr:niesrd:360. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Library & Information Manager (email available below). General contact details of provider: https://edirc.repec.org/data/niesruk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.