Barro-Gordon revisited: Reputational equilibria with inferential expectations

Timo Henckel; Gordon D. Menzies; Nick Prokhovnik; Daniel J. Zizzo

doi:10.1016/j.econlet.2011.03.031

Barro-Gordon revisited: Reputational equilibria with inferential expectations

Timo Henckel^*, Gordon D. Menzies, Nick Prokhovnik, Daniel J. Zizzo

^*Corresponding author for this work

Research output: Contribution to journal › Article › peer-review

4 Citations (Scopus)

Abstract

We incorporate inferential expectations into the Barro-Gordon model (Barro and Gordon, 1983a) of time inconsistency and consider reputational equilibria. The range of sustainable equilibria shrinks as the private sector becomes more belief-conservative.

Original language	English
Pages (from-to)	144-147
Number of pages	4
Journal	Economics Letters
Volume	112
Issue number	2
DOIs	https://doi.org/10.1016/j.econlet.2011.03.031
Publication status	Published - Aug 2011

Access to Document

10.1016/j.econlet.2011.03.031

Cite this

@article{a3ef4d84282545e8b0c23e2a99a6763f,

title = "Barro-Gordon revisited: Reputational equilibria with inferential expectations",

abstract = "We incorporate inferential expectations into the Barro-Gordon model (Barro and Gordon, 1983a) of time inconsistency and consider reputational equilibria. The range of sustainable equilibria shrinks as the private sector becomes more belief-conservative.",

keywords = "Credibility, Inferential expectations, Reputation, Time inconsistency",

author = "Timo Henckel and Menzies, \{Gordon D.\} and Nick Prokhovnik and Zizzo, \{Daniel J.\}",

year = "2011",

month = aug,

doi = "10.1016/j.econlet.2011.03.031",

language = "English",

volume = "112",

pages = "144--147",

journal = "Economics Letters",

issn = "0165-1765",

publisher = "Elsevier B.V.",

number = "2",

}

TY - JOUR

T1 - Barro-Gordon revisited

T2 - Reputational equilibria with inferential expectations

AU - Henckel, Timo

AU - Menzies, Gordon D.

AU - Prokhovnik, Nick

AU - Zizzo, Daniel J.

PY - 2011/8

Y1 - 2011/8

N2 - We incorporate inferential expectations into the Barro-Gordon model (Barro and Gordon, 1983a) of time inconsistency and consider reputational equilibria. The range of sustainable equilibria shrinks as the private sector becomes more belief-conservative.

AB - We incorporate inferential expectations into the Barro-Gordon model (Barro and Gordon, 1983a) of time inconsistency and consider reputational equilibria. The range of sustainable equilibria shrinks as the private sector becomes more belief-conservative.

KW - Credibility

KW - Inferential expectations

KW - Reputation

KW - Time inconsistency

UR - https://www.scopus.com/pages/publications/79957516234

U2 - 10.1016/j.econlet.2011.03.031

DO - 10.1016/j.econlet.2011.03.031

M3 - Article

SN - 0165-1765

VL - 112

SP - 144

EP - 147

JO - Economics Letters

JF - Economics Letters

IS - 2

ER -

Barro-Gordon revisited: Reputational equilibria with inferential expectations

Abstract

Access to Document

Other files and links

Fingerprint

Cite this