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Showing 1 to 2 of 2 for “"endogenous beliefs"”.
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Central bank credibility, endogenous beliefs and short-run Phillips curves
… among all the agents in the economy and where beliefs are endogenous. It is shown that when the Federal Reserve announces a new monetary policy rule, temporary nonneutrality of money can result if some agents are skeptical of the Fed's intentions to follow the announced rule or if some agents …
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Essays on Development Economics: Issues in Macroeconomics and Population
… are costly. We contrast implications of constant beliefs regarding capital controls with those obtained under endogenous beliefs. With endogenous beliefs, agents expect a greater likelihood of capital controls as economy-wide currency substitution rises. Our results show a persistent demand for …