Gavin, William T.; Kydland, Finn E.; Pakko, Michael R. - Federal Reserve Bank of St. Louis - 2006
bank implements policy using an interest rate rule. Monetary policy had important effects on the behavior of the business … cycle before 1980 because policymakers did not exert effective control over inflation. Monetary policy reform around 1980 …
Monetary Policy, Taxes, and the Business Cycle
William T. Gavin
Finn E. Kydland
and
Michael R. Pakko
Working …