In this paper, we argue that inflation targeting could be the future of Tunisia’s monetary policy. Monetary targeting has proven to be ineffective due to the composition of reserve money, structural ...

There seems to be a lot of debate in the blogosphere about how to evaluate whether monetary policy is too tight. Specifically, Arnold Kling notes: According to Sumner, we know that the Fed tightened ...

Nick Rowe and Bill Woolsey bring up some interesting points in their recent posts. These points are often neglected, but are of the utmost importance for monetary policy. Below, I will explore what is ...

I recently listened to a podcast and part of the conversation included banking, money and credit. The host of the show was elaborating on how banks create money through the use of the "Money ...

Good morning. I’m very pleased to be in such eminent company, especially that of my former advisor at Stanford, John Taylor. And I’ll begin my presentation with a reference to another pathbreaking ...

Textbook monetary theory holds that increasing the money supply leads to higher inflation. However, the Federal Reserve has tripled the monetary base since 2008 without inflation surging. With ...

The Wall Street Journal’s Anna Hirtenstein reported last week that U.S. companies “are sitting on a record amount of cash.” According to the Journal reporter, the number is $6.84 trillion. To ...