tag:blogger.com,1999:blog-4340743959609962134.post2466169028288216653..comments2024-01-20T03:24:37.947+00:00Comments on The Insecurity Analyst: Draghi is guiding interest rates, Yellen is tapering the quantity of reserves (Guest Post by Vaidas Urba)Unknownnoreply@blogger.comBlogger2125tag:blogger.com,1999:blog-4340743959609962134.post-51161730498760749672014-03-19T08:58:45.398+00:002014-03-19T08:58:45.398+00:00Frances Coppola,
Yes, NGDP LT is the best form of...Frances Coppola,<br /><br />Yes, NGDP LT is the best form of forward guidance.<br /><br />Regarding fiscal stimulus, Woodford has a point when the optimal policy rate is sharply negative, as it probably was in early 2009. On the other hand, fiscal bang for the buck is very low when the optimal rate is close to zero. And the optimal rate would likely be above zero now if we switched to NGDPLT.<br />Vaidas Urbahttps://twitter.com/VaidasUrbanoreply@blogger.comtag:blogger.com,1999:blog-4340743959609962134.post-65875861047762898162014-03-18T23:54:11.260+00:002014-03-18T23:54:11.260+00:00In his Jackson Hole paper, Woodford advocated targ...In his Jackson Hole paper, Woodford advocated targeted fiscal stimulus measures to support forward guidance. And he also suggested NGDP targeting. But everyone seems to have conveniently forgotten that he said either of these. Frances Coppolahttps://www.blogger.com/profile/09399390283774592713noreply@blogger.com