All in the family: the close connection between nominal-GDP targeting and the Taylor Rule
Abstract: The classic Taylor rule for adjusting the stance of monetary policy is formally a special case of nominal- gross-domestic-product (GDP) targeting. Suitably implemented, moreover, nominal-GDP targeting satisfies the definition of a \\\\"flexible inflation targeting\\\\" policy rule. However, nominal-GDP targeting would require more discipline from policymakers than some analysts think is realistic.
Keywords: Monetary policy;
File(s): File format is application/pdf http://www.dallasfed.org/assets/documents/research/staff/staff1202.pdf
Provider: Federal Reserve Bank of Dallas
Part of Series: Staff Papers
Publication Date: 2012
Issue: MarOrder Number: 17