Optimal simple rules and the role of estimation

Hello everyone

I’ve been thinking about the exercise of finding the optimal parameters of simple monetary policy rules, imagine that we take a standard model (e.g. the NK_baseline), does it make sense to estimate the parameters for a country and then find the optimal rule? Or really what determines which rule will be optimal will be the characteristics of the model (i.e. the specific value of the structural parameters will have a minor role)?

I ask this question because in the literature I don’t usually see someone taking an already established model and using it to explore the optimal monetary policy rule for a specific country, what I mostly see is adding a new feature to the model, and then exploring the implications of this new feature taking a country as a reference. Which makes me think that the optimal rules do not change much from country to country.

What you have in mind is usually of less interest to academic research, but interesting for policy makers. I assume that is the type of research regularly done in central banks, but not published in journals.