RDP 1999-10: The Implications of Uncertainty for Monetary Policy Equation (A20)

min R Loss=E[ ( ( F− F ¯ )R+G− G ¯ ) ′ Ω( ( F− F ¯ )R+G− G ¯ ]+ R ′ F ¯ ′ Ω F ¯ R+2 R ′ F ¯ ′ Ω G ¯ + G ¯ ′ Ω G ¯ . MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaWaaCbeaeaaca qGTbGaaeyAaiaab6gaaSqaaiaahkfaaeqaaOGaamitaiaad+gacaWG ZbGaam4Caiabg2da9iaadweadaWadaqaamaabmaabaWaaeWaaeaaca WHgbGaeyOeI0Yaa0aaaeaacaWHgbaaaaGaayjkaiaawMcaaiaahkfa caqGRaGaaC4raiabgkHiTmaanaaabaGaaC4raaaaaiaawIcacaGLPa aadaahaaWcbeqaaOGamai4gkdiIcaacqqHPoWvdaqabaqaamaabmaa baGaaCOraiabgkHiTmaanaaabaGaaCOraaaaaiaawIcacaGLPaaaca WHsbGaae4kaiaahEeacqGHsisldaqdaaqaaiaahEeaaaaacaGLOaaa aiaawUfacaGLDbaacqGHRaWkceWHsbGbauaadaqdaaqaaiaahAeaaa WaaWbaaSqabeaakiadacUHYaIOaaGaeuyQdC1aa0aaaeaacaWHgbaa aiaahkfacaqGRaGaaCOmaiqahkfagaqbamaanaaabaGaaCOraaaada ahaaWcbeqaaOGamai4gkdiIcaacqqHPoWvdaqdaaqaaiaahEeaaaGa ae4kamaanaaabaGaaC4raaaadaahaaWcbeqaaOGamai4gkdiIcaacq qHPoWvdaqdaaqaaiaahEeaaaGaaiOlaaaa@728A@