ANDREY POLBIN TOOK PART IN THE SEMINAR HELD BY INTERNATIONAL ECONOMICS RESEARCH CENTER OF THE MGIMO INSTITUTE FOR INTERNATIONAL STUDIES
On December 24, an open scientific seminar of the IMI MGIMO Center for International Economics Studies took place where Andrei Polbin, Head of Macroeconomic Modeling Department of the Gaidar Institute, acted as a discussant for Dmitry Mukhin's presentation "Optimal Monetary Policy under Dollar Pricing".
Research suggested a dynamic stochastic model of general international economic equilibrium with export and import prices lacking absolute flexibility, US Dollar-denominated, and analyzed optimal monetary policy.
Authors demonstrated that for countries using currencies other than US dollars as well as in more simplified models, the inflation targeting mode is optimal while for the United States it becomes profitable to deviate from the inflation targeting mode and take into account transmission of their decisions on monetary policy at global level.
Issues of quantitative assessment of benefits related to implementation of an optimal monetary policy with regard to more simplified instrumental rules were considered in the course of discussion as well as their role for results of the equalizing prerequisites study such as absolute flexibility in nominal wages, lack of capital accumulation and financial shocks in the model, availability of full financial markets.
Authors demonstrated that for countries using currencies other than US dollars as well as in more simplified models, the inflation targeting mode is optimal while for the United States it becomes profitable to deviate from the inflation targeting mode and take into account transmission of their decisions on monetary policy at global level.
Issues of quantitative assessment of benefits related to implementation of an optimal monetary policy with regard to more simplified instrumental rules were considered in the course of discussion as well as their role for results of the equalizing prerequisites study such as absolute flexibility in nominal wages, lack of capital accumulation and financial shocks in the model, availability of full financial markets.