Author
Frederic S. Mishkin, Columbia University
Description
This book by a leading authority on monetary policy offers a unique view of the subject from the perspectives of both scholar and practitioner. Frederic Mishkin is not only an academic expert in the field but also has been a high-level policymaker. He is especially well positioned to discuss the changes in the conduct of monetary policy in recent years, in particular the turn to inflation targeting. Monetary Policy Strategy describes his work over the last ten years, offering published papers, new introductory material, and a summing up, "Everything You Wanted to Know about Monetary Policy Strategy, But Were Afraid to Ask," which reflects on what we have learned about monetary policy over the last thirty years.
Mishkin blends theory, empirical evidence, and extensive case studies of monetary policy in advanced and emerging market and transition economies. Throughout, his focus is on these key areas: the importance of price stability and a nominal anchor; fiscal and financial preconditions for achieving price stability; central bank independence as an additional precondition; central bank accountability; the rationale for inflation targeting; the optimal inflation target; central bank transparency and communication; and the role of asset prices in monetary policy.
Table of Contents
1. How Did We Get Here?
I Fundamental Issues in the Conduct of Monetary Policy
2. What Should Central Banks Do?
3. The Transmission Mechanism and the Role of Asset Prices in Monetary Policy
4. The Role of Output Stabilization in the Conduct of Monetary Policy
5. Can Central Bank Transparency Go Too Far?
6. Is There a Role for Monetary Aggregates in the Conduct of Monetary Policy?
7. Rethinking the Role of NAIRU in Monetary Policy
II Monetary Policy Strategy in Advanced Economies
8. Central Bank Behavior and the Strategy of Monetary Policy
9. Inflation Targeting
10. International Experiences with Different Monetary Policy Regimes
11. Why the Federal Reserve Should Adopt Inflation Targeting
III Monetary Policy Strategy in Emerging Market and Transition Economies
12. Inflation Targeting in Emerging Market Countries
13. Monetary Policy Strategies for Latin America
14. Monetary Policy Strategies for Emerging Market Countries
15. Inflation Targeting in Transition Economies
16. A Decade of Inflation Targeting in the World
18. The Mirage of Exchange-Rate Regimes for Emerging Market Countries
IV What Have We Learned?
19. Everything You Wanted to Know about Monetary Policy Strategy, but Were Afraid to Ask
Sources
Index
