TY  - JOUR
AU  - Mishkin,Frederic S.
TI  - Will Monetary Policy Become More of a Science?
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 13566
PY  - 2007
Y2  - October 2007
UR  - http://www.nber.org/papers/w13566
L1  - http://www.nber.org/papers/w13566.pdf
N1  - Author contact info:
Frederic S. Mishkin
Columbia University
Graduate School of Business
Uris Hall 817
3022 Broadway
New York, NY 10027
Tel: 212-854-3488
Fax: 212/662-8474
E-Mail: fsm3@columbia.edu
AB  - This paper reviews the progress that the science of monetary policy has made over recent decades.  This progress has significantly expanded the degree to which the practice of monetary policy reflects the application of a core set of "scientific principles".  However, there remains, and will likely always remain, elements of art in the conduct of monetary policy:  in other words, substantial judgment will always be needed to achieve desirable outcomes on both the inflation and employment fronts.  However, as case studies discussed here suggest, even through art will always be a key element in the conduct of monetary policy, the more it is informed by good science, the more successful monetary policy will be.
ER  -