stop babling about interest rates
"The good implication is that a monetary policy that delivers nominal stability, also delivers real output stability and low and stable inflation!"
Is it not also true that policy that delivers low a stable inflation would deliver real an nominal GDP stability?
In your NGDP framework how is optimal NGDP growth estimated?
Is it not also true that policy that delivers low a stable inflation would deliver real an nominal GDP stability? Unfortunately, no. As James Mead put in his Nobel Lecture: "Inflation targeting can be dangerous"!
https://thefaintofheart.wordpress.com/2015/01/19/ngdp-level-targeting-james-meade-understood-it-almost-40-years-ago/
Thanks for sharing meaningful and valuable analysis.
"The good implication is that a monetary policy that delivers nominal stability, also delivers real output stability and low and stable inflation!"
Is it not also true that policy that delivers low a stable inflation would deliver real an nominal GDP stability?
In your NGDP framework how is optimal NGDP growth estimated?
Is it not also true that policy that delivers low a stable inflation would deliver real an nominal GDP stability? Unfortunately, no. As James Mead put in his Nobel Lecture: "Inflation targeting can be dangerous"!
https://thefaintofheart.wordpress.com/2015/01/19/ngdp-level-targeting-james-meade-understood-it-almost-40-years-ago/
Thanks for sharing meaningful and valuable analysis.