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Record W3186059983 · doi:10.34989/swp-2021-29

A New Measure of Monetary Policy Shocks

2021· preprint· en· W3186059983 on OpenAlexaff
Xu Zhang

Bibliographic record

VenueRePEc: Research Papers in Economics · 2021
Typepreprint
Languageen
FieldEconomics, Econometrics and Finance
TopicMonetary Policy and Economic Impact
Canadian institutionsBank of Canada
Fundersnot available
KeywordsMonetary policyEconomicsShock (circulatory)TreasuryMonetary economicsRomerInflation (cosmology)Business cycleMeasure (data warehouse)Yield curveMacroeconomicsEconometricsInterest rateComputer science

Abstract

fetched live from OpenAlex

"Central bank announcements contain both: - a stance on monetary policy - an assessment of the economic outlook When expecting strong growth, central banks usually raise interest rates to stabilize the economy. But an announcement of interest rates higher than the market anticipated may change market participants’ beliefs, leading them to conclude the economy is stronger than they thought. When policy makers and researchers assess monetary non-neutrality, they must consider the distinction between the effect of the central bank’s monetary policy stance and the effects of a shift in fundamentals. I measure this distinction by constructing a monetary policy shock series and applying it to the Federal Reserve’s monetary policy announcements. In particular, I examine the high-frequency movements of interest rates in a 30-minute window around the time of the Federal Reserve’s announcement. Because the announcement may reshape expectations about future monetary policy, I use changes in contract rates of interest rate futures settled in both the current and subsequent months. I then project these surprises onto the Federal Reserve’s information set, which is measured by its own economic forecasts preceding each announcement. The monetary policy stance shock is the portion of interest rate surprises which cannot be explained by the economic forecasts. I estimate the causal effects of monetary policy on the financial market and the macro economy using the constructed monetary policy stance shock as an instrument variable. My findings are consistent with the traditional channels of monetary policy non-neutrality. A contractionary monetary policy shock will cause: - an upward revision in private forecasts of the unemployment rate - a downward revision in private forecasts of inflation - a decline in stock prices"

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame machine prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. The Gemma side is a direct model label for every work in the frame, read from the title-only record. The Codex side is a classifier learned from the 10,348 direct Codex labels and calibrated to design-weighted sample rates; fields without enough sample support carry no Codex call. Candidate is the union of the two sides; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels.

metaresearch head score (Codex)0.002
metaresearch head score (Gemma)0.014
Version: metacan-v3-hybrid-931329e0061cValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Theoretical or conceptual · Consensus signal: none
GenreCandidate signal: Methods · Consensus signal: none
Teacher disagreement score0.006
Threshold uncertainty score0.020

Distilled classifier scores by category (both heads)

CategoryCodexGemma
Metaresearch0.0020.014
Meta-epidemiology (narrow)0.0010.000
Meta-epidemiology (broad)0.0000.000
Bibliometrics0.0040.003
Science and technology studies0.0000.001
Scholarly communication0.0020.002
Open science0.0010.001
Research integrity0.0010.002
Insufficient payload (model declined to judge)0.0060.002

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.091
GPT teacher head0.300
Teacher spread0.209 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one source (direct Gemma or distilled Codex), not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designTheoretical or conceptual
Domainnot available
GenreMethods

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations0
Published2021
Admission routes1
Has abstractyes

Explore more

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