The cutting edge of recent efforts to reshape monetary policy in many countries has been to impose a price target on the central bank. This paper examines such a policy in light of the Federal Reserve System's experience with money targeting from the late 1970s through the mid 1980s. The...

Remarks by Charles L. Evans, President and Chief Executive Officer, Federal Reserve Bank of Chicago Wisconsin Bankers Association Madison, WI

Remarks by Charles L. Evans, President and Chief Executive Officer, Federal Reserve Bank of Chicago Rockford Chamber of Commerce Rockford, IL

Remarks by Charles L. Evans, President and Chief Executive, Officer, Federal Reserve Bank of Chicago Economic Club of Indiana Indianapolis, Ind.

We develop a DSGE model in which the policy rate signals the central bank's view about macroeconomic developments to incompletely informed price setters. The model is estimated with likelihood methods on a U.S. data set including the Survey of Professional Forecasters as a measure of price...