This paper evaluates the quantitative importance of removing U.S. currency held abroad from the monetary base. We nd that a simple macroeconometric model that uses home base has more explanatory power for changes in nominal income than when the total base is used. Moreover, proposed base rules...

I propose a framework for drawing inferences about an unobserved variable using qualitative and quantitative information. Using this framework, I study the timing and persistence of monetary policy regimes and compute probabilistic measures of the qualitative indicator's reliability. These...