Batini, Nicoletta; Nelson, Edward - Federal Reserve Bank of St. Louis - 2005
macroeconomy and the monetary transmission mechanism that officials held in earlier periods. The misconceptions included: an … underestimation of the importance of monetary policy in demand management until 1970; a failure to distinguish real and nominal … alter the monetary base; and the adherence by policymakers in the 1960s and 1970s to nonmonetary views of the inflation …