Commentary: monetary policy after the fall.
Monetary policy and the long boom
This article is a reprint of a lecture - given in honor of Homer Jones - that examines the causes of the Long Boom. John B. Taylor defines the Long Boom from 1982 to the present - as the period of time in which the United States has known unprecedented economic stability. This period includes the first and second-longest peacetime expansions in American history, separated by one relatively short and mild national recession. Taylor explores the internal changes in the structure of our economy, as well as external shocks and economic policy. He also discusses the reasons for the change in ...
The Federal Reserve in a globalized world economy
This paper starts from the theoretical observation that simple rules-based monetary policy will result in good economic performance in a globalized world economy and the historical observation that this occurred during the Great Moderation period of the 1980s and 1990s. It tries to answer a question posed by Paul Volcker in 2014 about the global repercussions of monetary policies pursued by advanced economy central banks in recent years. I start by explaining the basic theoretical framework, its policy implications, and its historical relevance. I then review the empirical evidence on the ...
Commentary : challenges for monetary policy : new and old