U.S. Monetary Policy and the Prospective Structural Slump

54 Pages Posted: 25 Mar 2011

See all articles by Daniel Bruno, CMT

Daniel Bruno, CMT

Market Technicians Organization; Said Business School, Oxford University

Edmund S. Phelps

Center on Capitalism and Society, Columbia University

Date Written: June 26, 2007

Abstract

It was a huge mistake to see monetary policy as a static problem of engineering the desired balance between unemployment and inflation. The cyclical phases of economic expansion and contraction do not repeat themselves the same way twice in a row, so the monetary and fiscal remedies that worked last time should not work this time.

Keywords: Taylor Rule, fiscal policy, Great Recession of 2008, monetary policy, Freidrich Hayek, Keynes, asset inflation, housing bubble, FED policy, money supply

JEL Classification: Cll, C20, D40

Suggested Citation

Bruno, Daniel and Phelps, Edmund S., U.S. Monetary Policy and the Prospective Structural Slump (June 26, 2007). Available at SSRN: https://ssrn.com/abstract=1793209 or http://dx.doi.org/10.2139/ssrn.1793209

Daniel Bruno (Contact Author)

Market Technicians Organization ( email )

61 Broadway, Suite 514
New York, NY 10006
United States

Said Business School, Oxford University ( email )

Oxford, OX1 5NY
United Kingdom

Edmund S. Phelps

Center on Capitalism and Society, Columbia University ( email )

420 W. 118th Street
New York, NY 10027
United States
212-854-2060 (Phone)
212-854-8059 (Fax)

Register to save articles to
your library

Register

Paper statistics

Downloads
34
Abstract Views
543
PlumX Metrics