A multiperiod binomial model for pricing options in a vague world
Article Abstract:
The pricing of European options in a multiperiod binomial model that is characterized by ill-defined states of the world is described. The risk-neutral valuation approach for the pricing methodology is discussed.
Publication Name: Journal of Economic Dynamics & Control
Subject: Economics
ISSN: 0165-1889
Year: 2004
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Uncertain potential output: implications for monetary policy
Article Abstract:
Monetary policy must be conducted with incomplete knowledge of potential output. This causes gaps between supply and demand, unless the central bank makes relatively accurate estimates of production.
Publication Name: Journal of Economic Dynamics & Control
Subject: Economics
ISSN: 0165-1889
Year: 2003
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Optimal commitment policy under noisy information
Article Abstract:
The use of a New Keynesian sticky price model to find an optimal commitment monetary policy for central banks with noisy information is studied.
Publication Name: Journal of Economic Dynamics & Control
Subject: Economics
ISSN: 0165-1889
Year: 2006
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