this paper analyzes the effects ofexchange policies on iran,s foreign trade, by applying new econometric techniques. in assessing the impacts of depreciation of the national currency on macroeconomic variable, the real rather than nominal exchange rate has been determined to be more appropriate criterion to demonstrate the success or failure ofthe adopted policies. during the period under the s...

Some of the recent literature on robust control in economics (for instance, Giannoni [3], Hansen and Sargent [4] and [5], Onatski [6], Onatski and Stock [7], Sargent’s [10] comment on Ball, [1] and Stock’s [12] comment on Rudebusch and Svensson [9]) is somewhat technical and difficult to see through. This note attempts to use a simple example of optimal monetary policy to convey the gist of rob...

Given the increasing importance of achieving low and stable inflation rate during the last decades, adopting the most suitable practices to implement monetary policies has always been of concern by monetary authorities of different countries. Inflation targeting (IT) regime is the most recent strategy to guide monetary policies that have been introduced following the occurrence of exchange rate...