Professor Friedman restates his three reasons for adding credit to the list of intermediate targets for monetary policy: (1) policymakers should broaden their sources of information to include observations on both the asset and liability sides of the public's balance sheet; (2) the domestic...

A benevolent planner chooses optimally whether and how to disclose publicly a private forecast of fundamentals to a large number of informed small agents. These agents interact in economic environments with information frictions, strategic complementarity or substitutability in actions, and a...