TY  - JOUR
AU  - Rudebusch,Glenn D.
AU  - Svensson,Lars E.O.
TI  - Eurosystem Monetary Targeting:  Lessons from U.S. Data
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 7179
PY  - 1999
Y2  - June 1999
UR  - http://www.nber.org/papers/w7179
L1  - http://www.nber.org/papers/w7179.pdf
N1  - Author contact info:
Glenn Rudebusch
Federal Reserve Bank of San Francisco
Economic Research, MS 1130
101 Market Street
San Francisco, CA  94105-9967
Tel: 415-974-3173
E-Mail: glenn.rudebusch@sf.frb.org

Lars E.O. Svensson
Sveriges Riksbank
SE-103 37 Stockholm
SWEDEN
Tel: +46 8 787 0107
Fax: +46 8 21 0531
E-Mail: lars.svensson@iies.su.se
AB  - Using a small empirical model of inflation, output, and money estimated on U.S. data, we compare the relative performance of monetary targeting and inflation targeting.  The results show that monetary targeting would be quite inefficient, with both higher inflation and output variability. This is true even with a deterministic money demand formulation.  In this framework, there is thus no support for the prominent role given to money growth in the Eurosystem's monetary policy strategy.
ER  -