TY  - JOUR
AU  - Taylor,John B.
TI  - An Historical Analysis of Monetary Policy Rules
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 6768
PY  - 1998
Y2  - October 1998
UR  - http://www.nber.org/papers/w6768
L1  - http://www.nber.org/papers/w6768.pdf
N1  - Author contact info:
John B. Taylor
Herbert Hoover Memorial Building
Stanford University
Stanford, CA 94305-6010
Tel: 650/723-9677
Fax: 650-723-1687
E-Mail: John.Taylor@stanford.edu
M1  - published as John B. Taylor. "A Historical Analysis of Monetary Policy Rules," in John B. Taylor, editor, "Monetary Policy Rules" University of Chicago Press (1999)

M2  - featured in NBER digest on 1999-02-01
AB  - This paper examines several episodes in U.S. monetary history using the framework of an interest rate rule for monetary policy. The main finding is that a monetary policy rule in which the interest rate responds to inflation and real output more aggressively than it did in the 1960s and 1970s, or than during the time of the international gold standard, and more like the late 1980s and 1990s, is a good policy rule.  Moreover, if one defines rule, then such mistakes have been associated with either high and prolonged inflation or drawn out periods of low capacity utilization.
ER  -