How is monetary policy determined in the new keynesian model, Macroeconomics

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How is monetary policy determined in the new keynesian model

Problem

1. How is monetary policy determined in the New Keynesian model? What is the central bank's target, and what does the central bank control directly?

2. Why is monetary policy not neutral in the New Keynesian model? What are the effects of a change in the central bank's target interest rate?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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