Moreover, there would likely  Orphanides and Williams (2005) present a model in which perpetual learning leads to fluctuations in inflation expectations at various horizons and provide examples of how alternative monetary policy settings can influence the course of inflation expectations, thereby illustrating the importance of the interaction between expectations formation and efficient monetary policy.
12  With regard to oil prices, Bodenstein, Erceg, and Guerrieri (2008) discuss the effects on the price of oil and the U.S. economy from shocks to various factors in a theoretical model; Kilian (2007) provides an empirical analysis. More generally, this area remains a fertile field for future research. 13  See Bernanke (2008).