RDP 2017-06: Uncertainty and Monetary Policy in Good and Bad Times Equation (4)

F( z t )= exp( γ z t ) 1+exp( γ z t ) ,γ>0, z t N( 0,1 ) MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaamOramaabmaabaGaamOEamaaBaaaleaacaWG0baabeaaaOGaayjkaiaawMcaaiabg2da9maalaaabaGaaeyzaiaabIhacaqGWbWaaeWaaeaacqGHsislcqaHZoWzcaWG6bWaaSbaaSqaaiaadshaaeqaaaGccaGLOaGaayzkaaaabaGaaGymaiabgUcaRiaabwgacaqG4bGaaeiCamaabmaabaGaeyOeI0Iaeq4SdCMaamOEamaaBaaaleaacaWG0baabeaaaOGaayjkaiaawMcaaaaacaGGSaGaeq4SdCMaeyOpa4JaaGimaiaacYcacaWG6bWaaSbaaSqaaiaadshaaeqaaOGaeSipIOJaamOtamaabmaabaGaaGimaiaacYcacaaIXaaacaGLOaGaayzkaaaaaa@5C0C@