THE THEORY OF RATIONAL INPUTS AND THE EFFECTIVENESS OF MONETARY POLICY
DOI:
https://doi.org/10.55640/Keywords:
Rational price theory, rational expectations, monetary policy, inflation, interest rate, central bank, open market operations, reserve requirements, economic stability, monetary policy, money supply, macroeconomic equilibrium.Abstract
This work analyzes the essence of the theory of rational inputs, its impact on economic processes and its relationship with monetary policy. The theory of rational inputs represents the effective use of all available information by economic entities, taking into account future economic changes in advance. Based on this theory, the formation of prices in the market, the level of inflation and economic stability are studied.
It also covers the impact on the economy through the main instruments of monetary policy - interest rates, open market operations and reserve requirements. The effectiveness of monetary policy in the context of rational expectations, its short-term and long-term results are analyzed separately. The work also considers the importance of central bank policy in modern economic conditions and its role in ensuring economic stability.
References
1.Islamova, N. (2018). Theory of rational inputs and the impact of monetary policy in macroeconomics. Faculty of Mathematics and Economics, Tashkent State University, Tashkent.
2.Qodirov, S. (2020). Impact of monetary policy on macroeconomic stability. Economics and Management, 15(3), 45-58.
3.Abdurahmonov, D. (2019). Historical development and practical application of the theory of rational inputs. National University of Uzbekistan, Tashkent.
4.Mahmudov, S. (2021). Impact of monetary policy on economic growth: statistical analysis. International Economics and Politics, 7(2), 120-135.
5.Yusupov, M. (2022). Macroeconomic equilibrium and policy flexibility. Academy of Economic Sciences, Tashkent.
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