Behavioural Assumptions in Decentralised Stabilisation Policies

  • J. W. Neese
  • R. S. Pindyck
Part of the Advanced Studies in Theoretical and Applied Econometrics book series (ASTA, volume 3)


Macroeconomic policy in the United States is very much the product of a decentralised control process, as is best exemplifed by the separation of monetary and fiscal policy. In the past two or three decades monetary and fiscal policy have not always been coordinated or based on the same objectives. There have been periods in which the objectives differed, and also periods in which the objectives were the same but the world views on which policies are based differed. It has been argued that decentralisation has limited our ability to control the economy effectively.


Unemployment Rate Monetary Policy Fiscal Policy Open Loop Monetary Authority 
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Copyright information

© Martinus Nijhoff Publishers. Dordrecht/Boston/Lancaster 1984

Authors and Affiliations

  • J. W. Neese
    • 1
  • R. S. Pindyck
    • 1
  1. 1.Massachusetts Institute of TechnologyUSA

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