New paper (revised August 31, 2013): “Some Lessons from Six Years of Practical Inflation Targeting,” revised, August 31, 2013. Previous version prepared for the Riksbank conference on “Two Decades of Inflation Targeting: Main Lessons and Remaining Challenges,” June 3, 2013. Paper (revised). Continue reading →

New publication: “Evaluating Monetary Policy,” in Koenig, Evan F., Robert Leeson, and George A. Kahn, eds., The Taylor Rule and the Transformation of Monetary Policy, Hoover Institution Press, 2012, p. 245-274. PDF

The line: With a modified Taylor curve, the forecast Taylor curve, and plots of mean squared gaps showing the tradeoff between the variability of the inflation-gap and output-gap forecasts it is possible to evaluate policy ex ante, that is, taking into account the information available at the time of the policy decisions, and even evaluate policy in real time.