Designing a Simple Loss Function for Central Banks: Does a Dual Mandate Make Sense?

Keyphrases

• Inflation 100%
• Central Bank 100%
• Dual Mandate 100%
• Simple Loss Function 100%
• Economic Activity 66%
• Low Dose Rate 33%
• Measurement Error 33%
• Highest Weight 33%
• Resource Utilization 33%
• Estimation Model 33%
• Social Welfare 33%
• Model Features 33%
• Large Shocks 33%
• Interest Rate Volatility 33%
• Elasticity of Substitution 33%
• Interest Rate Sensitivity 33%
• Low Elasticity 33%
• Degree of Interest 33%

Economics, Econometrics and Finance

• Inflation 100%
• Central Bank 100%
• Volatility 33%
• Welfare 33%
• Social Welfare 33%
• Elasticity of Substitution 33%