s differed from its predecessors in three important respects: productivity, inflation, and cyclical variability. In the … United States, labor productivity increased much faster in the 1990s than in the previous decades and, contrary to the usual … pattern, accelerated with the duration of the expansion. The view that most of the productivity acceleration was only cyclical …

The U.S. economy appears to have experienced a pronounced shift toward higher productivity over the last five years or … monetary policy for a given inflation target and a given level of productivity, and calculate the optimal monetary policy rule …