Svensson, Lars E.O. - Griswold Center for Economic Policy Studies, Department … - 2002
reasonable certainty. The zero bound, liquidity traps and risks of deflation are serious concerns for a monetary policy aimed at … expressed in terms of a simple instrument rule, like a Taylor rule. Financial stability, including a well-functioning payment …Monetary policy can achieve average inflation equal to a given inflation target and, at best, a good compromise between …