Skip to content

Growing output gap between actual GDP growth and the potential GDP growth may cause…

December 1, 2015

…downward pressure on inflation, resulting in lower short-term interest rates and rising bond prices.

Output Gap is factored into the Taylor Rule.

Advertisements

From → Economics

One Comment

Trackbacks & Pingbacks

  1. Another CFA® Exam is Finished – Muskblog

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

w

Connecting to %s

%d bloggers like this: