Macro Musings with David Beckworth cover image

Kyla Scanlon on the “Vibecession”, the Vibe Economy, and the Path to Growing American Wealth

Macro Musings with David Beckworth

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Nominal GDP Targeting Explained

This chapter explores nominal GDP targeting as a monetary policy strategy aimed at stabilizing total dollar spending rather than focusing solely on prices. It discusses historical attempts and challenges of this approach, including the need for effective communication and reliable data. The dialogue also examines the implications of this strategy on economic stability, especially in the wake of disruptions like supply shocks and the pandemic.

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