RDP 2000-10: Monetary Policy-Making in the Presence of Knightian Uncertainty
Equation (2)
x
t
=
A
+
B
x
t
−
1
+
C
r
t
−
1
+
Λ
t
MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaamiEamaaBaaaleaacaWG0baabeaakiabg2da9iaadgeacqGHRaWkcaWGcbGaamiEamaaBaaaleaacaWG0bGaeyOeI0IaaGymaaqabaGccqGHRaWkcaWGdbGaamOCamaaBaaaleaacaWG0bGaeyOeI0IaaGymaaqabaGccqGHRaWkcqqHBoatdaWgaaWcbaGaamiDaaqabaaaaa@485D@