In class last Thursday (11/17), we talked about various monetary policy rules and mentioned that there is currently a debate whether the Fed should adopt targeting nominal GDP growth rate to stabilize the economy. The debate on this issue in policy circles is very current and it is interesting to follow a back and forth on the issue, especially since we are in uncharted waters. This article (linked in the title) is a response to Christina Romer's case for targeting nominal GDP growth rate.
Hope you find this stimulating.
Prof. Skosples
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