全球智库信息集成服务系统(G2TT): DP2441 Asymmetries In Monetary Policy Rules: Evidence For Four Central Banks

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP2441
	DP2441 Asymmetries In Monetary Policy Rules: Evidence For Four Central Banks
	Juan Dolado; Ramón María-Dolores; Manuel Naveira Barrero
发表日期	2000-04-28
出版年	2000
语种	英语
摘要	Political risk is widely present in developing but also in developed countries, and stems from a variety of sources. The objective of this paper is twofold. First, we develop a theoretical model to investigate the impact of political risk on irreversible investment. Second, we apply our model to an analysis of the risk of separation of the province of Quebec from the Canadian federation. We consider the investment decisions of a monopolistically competitive firm under uncertainty about demand and about the tax-adjusted price of investment goods. We develop a model of irreversible investment which incorporates learning and a regime switch with time-varying transition probabilities. If a given regime represents a riskier environment in terms of the state of demand or the state of investment price, then attaching a positive probability to a switch to that regime increases the marginal adjustment cost of investing, reduces the expected marginal value of capital, and reduces irreversible investment. We use annual sectoral data for the Quebec economy for the period 1983-1996 to match the behaviour of actual investment with simulated series from our model.
主题	International Macroeconomics
关键词	Canada Irreversible investment Learning Political risk Quebec investment Regime shifts Trends
URL	https://cepr.org/publications/dp2441
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/531523
推荐引用方式 GB/T 7714	Juan Dolado,Ramón María-Dolores,Manuel Naveira Barrero. DP2441 Asymmetries In Monetary Policy Rules: Evidence For Four Central Banks. 2000.