RDP 2011-02: Long-term Interest Rates, Risk Premia and Unconventional Monetary Policy Equation (A4)

Λ t r = L [ R ^ L , t − 1 L E t ∑ j = 0 L − 1 π t + j + 1 ] + E t Λ t + L r MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaeu4MdW0aa0 baaSqaaiaadshaaeaacaWGYbaaaOGaeyypa0JaamitamaadmaabaGa bmOuayaajaWaaSbaaSqaaiaadYeacaGGSaGaamiDaaqabaGccqGHsi sldaWcaaqaaiaaigdaaeaacaWGmbaaaGqaaiaa=LeaqaaaaaaaaaWd biaa=veapaWaaSbaaSqaaiaadshaaeqaaOWaaabCaeaacqaHapaCda WgaaWcbaGaamiDaiabgUcaRiaadQgacqGHRaWkcaaIXaaabeaaaeaa caWGQbGaeyypa0JaaGimaaqaaiaadYeacqGHsislcaaIXaaaniabgg HiLdaakiaawUfacaGLDbaacqGHRaWkcaWFjbWdbiaa=veadaWgaaWc baGaamiDaaqabaGccqqHBoatdaqhaaWcbaGaamiDaiabgUcaRiaadY eaaeaacaWGYbaaaaaa@5D21@