TY  - JOUR
AU  - Walsh,Carl E.
TI  - Testing for Real Effects of Monetary Policy Regime Shifts
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 2116
PY  - 1987
Y2  - 1987
UR  - http://www.nber.org/papers/w2116
L1  - http://www.nber.org/papers/w2116.pdf
N1  - Author contact info:
Carl Walsh
Department of Economics
E2 Building
University of California
Santa Cruz, CA   95064
Tel: 531-459-4082
E-Mail: walshc@ucsc.edu
AB  - Huizinga and Mishkin (1986) have recently proposed a simple method for testing whether monetary policy regime changes have affected the ex-ante real rate of interest. This paper shows that care must be taken in choosing the set of variables on which to project the ex-post real rate if inferences about the ex-ante real rate are to be drawn. It is shown that Huizinga. and Mishkin's tests cannot distinguish between shifts in the real rate process and shifts in the inflation process.
ER  -