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- W1978857166 abstract "Given a policy rule of the common central bank of a monetary union, member countries with different preferences about inflation and facing asymmetric shocks have different incentives to secure political intervention in the bank's operation and achieve the temporary benefit of surprise inflation. This is modelled as a repeated game, and the most cooperative outcome subject to the countries' incentive compatibility constraints is found. The optimal rule responds flexibly to asymmetric shocks, adjusting policy away from the full commitment level toward the discretionary level, so as to maintain the worse-hit country's incentive to abide by the rule." @default.
- W1978857166 created "2016-06-24" @default.
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- W1978857166 date "2000-10-01" @default.
- W1978857166 modified "2023-10-14" @default.
- W1978857166 title "A Repeated Game Model of Monetary Union" @default.
- W1978857166 doi "https://doi.org/10.1111/1468-0297.00564" @default.
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