Nominal GDP (NGDP) targeting has received a lot of attention over the past decade. This note provides a brief review of the key arguments for NGDP targeting and then presents some practical ways to use it in the conduct of U.S. monetary policy. Specifically, this note shows how to construct...

Can monetary policy influence long-term interest rates? Studies that have tackled this question using VARs generally find that monetary policy's influence on long-term interest rates is small and often statistically insignificant. Other studies, however, using a single-equation approach have...