An Empirical Analysis of the Causes of Regional Difference under the National Monetary Policy: Based on the Expected Differences of Monetary Effects Model

Based on the rational expectation theory, the essay analyses the problems that the national monetary policy brings different effects to various areas under the difference of regional expectation. The monetary effect model is created to illustrate that difference of regional expectation in the national monetary policy may result in a variety of implementation effects. This mathematical model can quantitatively deal with the different effects of the national monetary policy on the price and production in the different expectation areas. And it analyses the conduction path of the different effects of monetary policy. It opens up a new way to solving the problems relevant to it.